29.09.2006 Chaparral Merger Approved

SHAREHOLDERS OF CHAPARRAL RESOURCES INC. VOTE FOR MERGER WITH LUKOIL OVERSEAS

The shareholders of Chaparral Resources Inc. voted in favor of the merger with LUKOIL Overseas at a special meeting held inLondon today.

The merger offer was approved by a majority of votes cast. The merger became effective on the same day. Upon the transaction closure Chaparral Resources will cease to be a publicly traded company and become a 100% subsidiary of LUKOIL Overseas.

Since December 2005, the LUKOIL Overseas Group has been the owner of 60% of Chaparral Resources stock acquired along with other assets of Nelson Resources Limited.  The remaining shares in Chaparral Resources stock are owned by a large number of minority shareholders and are traded publicly in the USA.  The approved merger agreement was signed by Chaparral Resources, LUKOIL Overseas and NRL Acquisition Corp. on March 13, 2006. The price was set at $5.8 per share.

Akin Gump Strauss Hauer & Feld LLP is the legal advisor for the deal, while Aton Capital is the financial advisor. Baker Botts LLP is the legal advisor to the Special Committee of the Board of Directors of Chaparral Resources comprised of independent directors, while Petrie Parkman & Co is the financial advisor to the Special Committee.