The main goal of convening the Extraordinary General Meeting of the Company is to adopt a resolution regarding a conditional increase of the Company’s share capital. Adopting a resolution on new capital would be performed above all in relation to the necessity to: (i) secure funds for investments, consolidations and development of projects relating to shale gas and shale oil; (ii) secure funds for further works in the Shyrak structure, in particular as regards well testing and commencement of industrial production of hydrocarbons; (iii) make it possible to fulfil the conditions precedent of the agreement concluded with the French concern Total regarding common investments on the Koblandy field within the largest contract area of the Petrolinvest Group in Kazakhstan — OTG; (iv) secure liquidity needs of the Company in relation to the reduction of its indebtedness and make it possible to settle payables to financing entities.

Moreover, the Company assumes the possibility of conducting one or more public offerings of the Subscription Warrants and the Series E Shares subscribed for as a result of their execution, directed at individual and institutional investors on preferential market conditions. A public offering would be conducted in order to enable a wide group of investors to build the market value of the Company, nevertheless, in order to ensure the flexibility and possibility of the Company to adapt to the market conditions, it will be necessary to exclude the pre-emptive rights of the Company’s existing shareholders.

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 Attachment – Announcement regarding the convocation of an EGM including draft resolutions.