Moscow, Russia – October 29, 2008 – URALCHEM, OJSC (“URALCHEM” or “the Company”), one of the largest producers of nitrogen and phosphate fertilizers in Russia and the CIS, announces that it will reduce the price of its mineral fertilizers by up to 25% for Russian agricultural producers as part of a programme to support the Russian agricultural industry.

URALCHEM has made the decision to reduce prices for agricultural producers in order to stimulate demand for mineral fertilizers from Russian farm owners. This is an important strategic step for the Company at the start of a new growing season. Lower mineral fertilizer prices will allow agricultural producers to reduce their costs, while direct contract purchases will eliminate intermediary agent commissions. URALCHEM is prepared to supply the agricultural producers with the required volumes of mineral fertilizers directly at these discounted prices.

Dmitry Konyaev, Commercial Director of URALCHEM, commented: “Reducing fertilizer prices by up to 25% is a part of the Company’s unified strategy to increase the efficiency of Russian agriculture, stimulate demand from the domestic market and secure the development of Russian agriculture as a whole”.