Getty Petroleum Marketing Inc. Acquires Gasoline Stations from ConocoPhillips

East Meadow, New York (January 28, 2004) - Getty Petroleum Marketing Inc., a wholly owned subsidiary of OAO LUKOIL Corporation, announced that it has agreed to purchase approximately 311 Mobil branded gasoline retail stations and contracts to supply gasoline to approximately 484 additional Mobil branded stations located in New Jersey and Pennsylvania from ConocoPhillips.  These sites generate over 1.2 billion gallons of gasoline sales annually and will double the amount of Getty's current sales in the United States.

"This agreement with ConocoPhillips builds upon LUKOIL's November 2000 acquisition of Getty Petroleum and demonstrates our strong commitment to expansion in the U.S. market," said Vadim Gluzman, Chairman and Chief Executive Officer of Getty Petroleum Marketing Inc.  "As one of Russia's largest oil companies, LUKOIL is dedicated to enhancing energy relations between Russia and the United States, and we believe this move serves our long-term goal of providing new, friendly and reliable sources of oil to U.S. consumers."

Vincent DeLaurentis, President and COO of Getty Petroleum Marketing Inc. said, "With this purchase, Getty has acquired the crown jewel of gasoline station sites in the Northeast.  It is our strong belief that the acquisition of these premier sites from ConocoPhillips will greatly help Getty solidify its presence in the Northeast and enhance our ability to service consumers."

Lehman Brothers, a global investment bank, is acting as the sole financial and M & A advisor to GETTY for the transaction and will act as the sole arranger for senior secured credit facilities related to the acquisition.

LUKOIL is one of Russia's largest vertically integrated oil companies.  Founded in 1991, it is one of the world's top 5 publicly traded oil companies in terms of proven oil reserves.  LUKOIL is the most internationally diversified Russian oil company, and the first to have ventured abroad to work with international oil corporations and to make a significant commitment to the U.S. market.  It is Russia's number one refiner with total capacity of 1.15M bpd (including overseas assets).  The company has more than 4,700 gasoline stations worldwide, and with its acquisition from ConocoPhillips, over 2,000 outlets in the United States.  It is publicly traded on numerous international stock exchanges and most recently was listed on the London Stock Exchange (Symbol: LKOD).