OREANDA-NEWS. April 30, 2010. N.U. Maganov, First Deputy General Director of OAO Tatneft - Head of Oil and Petroleum Products Sales Department, and R.S. Ilyasov, General Director of OAO "Nizhnekamskshina (integrated into the petrochemical business activities of OAO Tatneft , Management Company OOO Tatneft-Neftekhim) took part the meeting of R.N. Minnikhanov, President of the Republic of Tatarstan, with I.A. Komarov, President of AvtoVAZ, held in Kazan. They discussed issues of cooperation in the development of automotive components production and increasing the supply of components and materials, reported the press-centre of TATNEFT.

In particular, R.N. Minnikhanov noted that demand for the products of AvtoVAZ Company increased substantially today. This will give an impetus to increase the volume of tire production, including the production at Nizhnekamskshina.

After the meeting, I.Sh. Khalikov, Prime Minister of the Republic of Tatarstan, and I.A. Komarov, President of AvtoVAZ, signed an Agreement on long-term cooperation between the Government of Tatarstan and AvtoVAZ. This agreement will bring the cooperation with enterprises of the Republic to a new qualitative level. According I.A. Komarov, OAO Nizhnekamskshina is the main supplier of AvtoVAZ and the Kama tires are used on the overwhelming majority of cars produced by the factory located on the Volga River. The next three months will witness consideration of further development of this cooperation. I.A. Komarov also noted that oil refining and petrochemical enterprise of TATNEFT Group are strategically important suppliers for AvtoVAZ.

Reference Information. OAO TATNEFT and OAO AvtoVAZ signed a General Cooperation Agreement aimed at further development of cooperation between the two companies in 2006. The Agreement provided for cooperation in such fields as delivery of TATNEFT's petrochemical enterprises products (synthetic motor oil and premium gasoline), as well as KAMA EURO tires produced by the European technology to AvtoVAZ. At the time of signing the Agreement Nizhnekamskshina covered 47% of AvtoVAZ needs in car tires. AvtoVAZ and Nizhnekamskshina signed an agreement on strategic cooperation in 2009. AvtoVAZ began to receive all tires for the assembly line of Lada cars from Nizhnekamskshina.