West Siberian announces share offering

Not for release, publication or distribution, in whole or in part, directly or indirectly, in or into the United States, Canada, Australia or Japan.

West Siberian Resources Ltd. (the “Company”) proposes to offer up to 258 million newly issued shares in the form of Swedish Depositary Receipts (“SDRs”), listed on the OMX Nordic Exchange Stockholm. The SDRs will be offered to qualified institutional investors and the offer price will be determined through a bookbuilding process.

The planned share issue will amount to up to 258 million newly issued shares in the form of SDRs, equal to approximately 7.9% of the Company’s outstanding shares, post issue.

Together with operational cash flow and additional debt capital, the proceeds from the offering will be used to finance the Company’s capital expenditures program and prepayments for the upgrading of the Khabarovsk refinery.

The Company has agreed to a lock-up of 90 days following the closing of the transaction. Following the recently completed merger transaction with Alliance Oil, certain shareholders of the Company are prevented from disposing of their interests in the Company until October 10, 2008,180 days from the date of completion of the merger.

Morgan Stanley and Carnegie are acting as joint bookrunners in connection with the proposed offering.

For further information:
Maxim Barski, Managing Director, West Siberian Resources Ltd., tel. +7 495 956 48 82
Eric Forss, Chairman, West Siberian Resources Ltd., tel. +46 8 613 00 85

Please also visit www.westsiberian.com




This announcement is only being distributed to and is only directed at (i) persons who are outside the United Kingdom or (ii) to investment professionals falling within Article 19(5) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Order”) or (iii) high net worth companies, and other persons to whom it may lawfully be communicated, falling within Article 49(2)(a) to (d) of the Order (all such persons in (i), (ii) and (iii) above together being referred to as “relevant persons”). The SDRs are only available to, and any invitation, offer or agreement to subscribe, purchase or otherwise acquire such securities will be engaged in only with, relevant persons. Any person who is not a relevant person should not act or rely on this document or any of its contents.

In any EEA Member State that has implemented Directive 2003/71/EC (together with any applicable implementing measures in any Member State, the “Prospectus Directive”) this communication is only addressed to and is only directed at qualified investors in that Member State within the meaning of the Prospectus Directive.

This announcement is not for release, publication or distribution, directly or indirectly, in or into the United States of America (including its territories and possessions, any state of the United States and the District of Columbia). This announcement is not an offer of securities for sale into the United States or to U.S. persons (as defined in Rule 902 under the Securities Act). The securities referred to herein have not been and will not be registered under the U.S. Securities Act of 1933, as amended (“the Securities Act”), and may not be offered or sold in the United States or to U.S. persons (as defined in Rule 902 under the Securities Act) , except pursuant to an applicable exemption from registration under the Securities Act. No public offering of securities is being made in the United States and the information contained herein does not constitute or form part of any offer or solicitation to purchase or subscribe for securities in the United States.