C.A.T. oil AG: Strong and successful expansion in 2007

• Revenues up 15.0% YoY to EUR 222.6 million

• Massive increase in operative capacity

• Geographic expansion to European Russia

• New businesses launched

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finances

Vienna (euro adhoc) - April 30, 2008 - C.A.T. oil AG (O2C, ISIN:
AT0000A00Y78), one of the leading providers of oil and gasfield
services in Russia and Kazakhstan, today announced the annual results
for the financial year 2007. The reporting period was marked by an
impressive progress in the transformation of C.A.T. oil AG from a
West Siberian fracturing niche player into a diversified oilfield
service company. The Company successfully expanded into new
high-growth, high-margin businesses and new regions within and
outside of Russia. The Company invested record EUR 89.1 million in
new capacity additions and thus managed to significantly increase its
operating capacity both, in its core and new businesses.

Revenues up 15,0%

In 2007, C.A.T. oil´s revenues reached a new peak of EUR 222.6
million, up 15% YoY. The key revenue drivers were a 5.9% YoY increase
in the Company´s total job count to 2,473 jobs (2006: 2,335 jobs) and
an 8.5% YoY gain in an average revenue per job to thou. EUR 90 (2006:
thou. EUR 83). With more and more new capacity becoming operational
during the year, the Company´s 2007 quarterly job count demonstrated
strong YoY growth in the course of the year. Concurrently, new
capacity additions to the hydraulic fracturing business were more
difficult to market and deploy in the middle of the year without
discount as the fracturing market competition intensified.
Additionally, demand for gas fracturing jobs was lower than a year
ago due to a mild winter in the northern hemisphere. As a result,
C.A.T. oil realized a slightly lower revenue growth than originally
expected for 2007. The Company´s EBITDA increased 8.8% YoY to EUR
49.7 million compared to EUR 45.7 million in 2006. EBITDA-margin
decreased to 22.3% (2006: 23.6%). Earnings before interest and
corporate tax (EBIT) were essentially flat YoY at EUR 37.2 million
(2006: 36.9 million), driving the EBIT margin contraction to 16.7% in
2007 from 19.1% in 2006. C.A.T. oil´s net income decreased 9.4% YoY
to EUR 22.7 million (2006: EUR 25.0 million) as an unrealized foreign
exchange loss on intercompany loans surged to EUR 4.7 million in 2007
compared to thou. EUR 745 in 2006 on the back of the accelerated
ruble devaluation against Euro in the third and fourth quarter of
2007. As a consequence, earnings per share amounted to EUR 0.46
compared to EUR 0.54 in financial year 2006.

2007: year of investments and business expansion

Manfred Kastner, CEO of C.A.T. oil AG commented: "2007 was a very
important year for the development of our company. With our extensive
investment program we managed to enhance our regional and service
coverage and our customer base. This strategy of aggressive expansion
combined with our technical expertise, our highly qualified staff and
the financial strengths of our Company, paves the way for sustainable
growth in 2008 and beyond."

In 2007, C.A.T. oil invested EUR 89.1 million in the operating
capacity additions. By the end of the year, C.A.T. oil extended the
number of operating hydraulic fracturing fleets 67% YoY to a total of
15 fleets. The Company´s sidetrack drilling capacity rose 400% YoY to
a total of 10 rigs. This substantial expansion in the sidetrack
drilling capacity facilitated a 153% YoY increase in a total
sidetrack job count in 2007. The performance in this business was
supported by rising job complexity and a greater share of higher
added value horizontal sidetracks at expense of less sophisticated
inclined sidetracks. Additionally, C.A.T. oil expanded its capacity
for coiled tubing and nitrogen services 50% YoY. These substantial
capacity additions demonstrate the Company´s commitment to defend its
ample market share in the Russia and Kazakh fracturing markets and
meet the rising demand for its second core business, sidetrack
drilling, in a growing and booming market environment.

In 2007, C.A.T. oil benefitted both from intensifying and broadening
customer relationships. Long standing and successful cooperation over
a number of years led to an increased trend towards multiple-year
strategic partnerships and order contracts comprising a broader scope
of services. In March 2007, C.A.T. oil´s operating subsidiary
CATKoneft was awarded a three-year-contract with Rosneft, the largest
oil producer in Russia. In November 2007, Rosneft charged the
operating subsidiaries of C.A.T. oil with another 385 fracturing jobs
for the challenging oil fields in the Yugansk area. In the fourth
quarter of 2007 C.A.T. oil´s subsidiary CATBOBNEFT was named winner
in two major tenders by TNK-BP for three-year-contracts for sidetrack
drilling and workover services at the Samotlor field, one of the
largest oil fields in the world. Another positive development in late
2007 was the deployment of two sidetrack drilling rigs in Noyabrsk
area for Gazprom´s oil subsidiary Gazprom Neft, which the Company
concluded a strategic partnership with back in 2006. C.A.T. oil also
won a tender to deploy two additional sidetrack drilling rigs for
Gazprom Neft in 2008.

Another important step for C.A.T. oil was the expansion of its
business to European Russia. In April 2007, the Company acquired a
100% stake in the oilfield services company FilOrAm from TNK-BP. The
Company is located in Orenburg region in the European part of Russia
and provides C.A.T. oil with strategic access to Russia´s Volga-Urals
oil and gas basin, as well as a highly competitive base towards
northwestern Kazakhstan.

In 2007, C.A.T. oil not only expanded regionally, but also further
advanced in the diversification of its service portfolio. In July
C.A.T. oil entered the fast growing segment of geotechnical services,
including 2D/3D seismic and reservoir engineering by forming the new
subsidiary CAToil-Geodata and hiring a team of approximately 90
industry professionals. After more than a decade of under-exploration
in Russia, seismic is another booming business in the Russian oil
field service sector.

Record capital expenditures for future diversification and growth

In 2007, C.A.T. oil generated a cash flow from operating activities
of EUR 21.1 million compared to EUR 23.4 million in the previous
year. The decline is mainly due to higher investments in working
capital to pursue growth and diversification strategies resulting in
a build up of inventories for new businesses and materially higher
VAT prepayments for equipment.

The financial year was earmarked by the comprehensive investment
program leading to record investments in property, plant and
equipment of EUR 89.1 million, up 34% YoY from EUR 66.5 million in
2006. C.A.T. oil´s cash flow from financing activities amounted to
EUR 8.0 million, reflecting primarily short-term overdraft facilities
used by the Company´s operating subsidiaries. On December 31, 2007,
C.A.T. oil had cash and cash equivalents of EUR 15.0 million compared
to EUR 74.5 million at the end of 2006. C.A.T. oil´s balance sheet
underlines the Company´s dynamic growth and moderate financial
policy. Total assets increased 21.5% YoY to EUR 285.3 million and
equity rose 8.7% YoY to EUR 234.9 million at the end of 2007 (2006:
216.1 million). Despite a sharp increase in current and non-current
liabilities to EUR 50.6 million (2006: EUR 18.8 million), the equity
ratio´s level remained high with 82.3%.

In line with C.A.T. oil´s massive investment program, the Company´s
average weighted headcount increased by 32.4% to 3,127 employees
(2006: 2,362 employees).

Sidetrack drilling to drive growth in 2008

In 2008 sidetracking drilling will remain the Company´s fastest
growing business. With currently 10 operating mobile sidetrack
drilling rigs, C.A.T. oil is among the top three independent
sidetrack drilling service providers in Russia. C.A.T. oil will
benefit from a sustained wide gap between supply and demand for
sidetrack drilling services in the Russian oil industry resulting in
further price gains in 2008. Based on the existing back log of
sidetrack drilling jobs for 2008, C.A.T. oil is confident that it can
increase its sidetracking job count by 190%.

Despite the intensified competition in the Russian hydraulic
fracturing market, C.A.T. oil stays highly competitive on price and
quality and anticipates its fracturing job count rise 15% YoY in
2008.

Positive outcome is also expected from the growing business seismic
services. With a total of five 2D/3D crews, the Company is well
positioned to benefit from the increasing demand for this service.

In 2008, C.A.T. oil plans to expand into conventional drilling
services to benefit from a major upturn in greenfield capital
expenditures. To this end, C.A.T. oil has already ordered three new
180-ton mobile drilling rigs in 2008, which have a significant
technical advantage over Russian rigs currently operating on the
various oil fields. These mobile rigs are also efficient to perform
sidetrack drilling jobs, in particular deep ones.

Manfred Kastner, CEO of C.A.T. oil AG, outlined: "More than ever
C.A.T. oil is in an excellent position to benefit from the fast
growing demand for oil and gas services in Russia and Kazakhstan. Oil
and gas producers show a fast increasing interest in the employment
of reliable independent service companies with advanced and
sophisticated technical capabilities and technologies. With our
extensive investment program we have expanded in core and new
services and technologies which confirm our standing as a preferred
partner for the majors in the industry. Our investments will
certainly pay off in the future."

www.catoilag.com

About C.A.T. oil AG: Austria-based C.A.T. oil AG (O2C, ISIN:
AT0000A00Y78) is one of the leading providers of oil- and gasfield
services in Russia and Kazakhstan. C.A.T. oil´s core business is
hydraulic fracturing, a process which helps to open up oil- and
gas-bearing rock formations in order to increase or even enable oil
and gas production. The C.A.T. oil crews use state-of-the-art methods
and technologies to generate high pressure in the oil or gas
reservoirs concerned. This pressure causes cracks to appear in the
rock through which oil or gas can be produced in larger quantities
from the production well, and hence efficiently boosts extraction,
particularly in the case of deposits that are difficult to develop or
low-output wells. In addition, hydraulic fracturing can be used to
revitalize wells that have previously been idle.

The Company has its headquarters in Vienna and employed 3,388 people
at the end of 2007, most of whom are based in Russia and Kazakhstan.
Customers include leading oil and gas producers such as Gazprom,
KazMunaiGaz, LUKOIL, Rosneft, and TNK-BP. C.A.T. oil has been listed
in the Prime Standard of the Frankfurt Stock Exchange since May 4,
2006, and has been a member of the SDax since September 18, 2006.

end of announcement euro adhoc
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ots Originaltext: C.A.T. oil AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Press contact:

A&B Financial Dynamics

Dr. Lutz Golsch Claudia Werth

Tel.: +49 (0)69 92037-110 Tel.: +49 (0)69 92037-114

Email: l.golsch@abfd.de Email: c.werth@abfd.de

Branche: Oil & Gas - Upstream activities
ISIN: AT0000A00Y78
WKN: A0IKWU
Index: SDAX, Classic All Share, Prime All Share
Börsen: Börse Frankfurt / regulated dealing