diff --git a/python/src/com/jetbrains/python/buildout/BuildoutConfigurable.java b/python/src/com/jetbrains/python/buildout/BuildoutConfigurable.java
index 41232c47154a..8de2e1107a84 100644
--- a/python/src/com/jetbrains/python/buildout/BuildoutConfigurable.java
+++ b/python/src/com/jetbrains/python/buildout/BuildoutConfigurable.java
@@ -122,7 +122,7 @@ public class BuildoutConfigurable implements Configurable, NonDefaultProjectConf
       if (script_file == null || script_file.isDirectory()) {
         throw new ConfigurationException("Invalid script file '" + script_name + "'");
       }
-      paths_from_script = BuildoutFacet.extractFromScript(script_file);
+      paths_from_script = BuildoutFacet.extractBuildoutPaths(script_file);
       if (paths_from_script == null) {
         throw new ConfigurationException("Failed to extract paths from '" + script_file.getPresentableName() + "'");
       }
diff --git a/python/src/com/jetbrains/python/buildout/BuildoutFacet.java b/python/src/com/jetbrains/python/buildout/BuildoutFacet.java
index 4f8947343b69..00eadc01aa24 100644
--- a/python/src/com/jetbrains/python/buildout/BuildoutFacet.java
+++ b/python/src/com/jetbrains/python/buildout/BuildoutFacet.java
@@ -11,6 +11,7 @@ import com.intellij.openapi.module.Module;
 import com.intellij.openapi.project.Project;
 import com.intellij.openapi.util.SystemInfo;
 import com.intellij.openapi.util.io.FileUtil;
+import com.intellij.openapi.util.text.LineTokenizer;
 import com.intellij.openapi.util.text.StringUtil;
 import com.intellij.openapi.vfs.*;
 import com.intellij.psi.PsiFile;
@@ -42,6 +43,7 @@ public class BuildoutFacet extends Facet<BuildoutFacetConfiguration> implements
 
   private static final Logger LOG = Logger.getInstance("#com.jetbrains.python.buildout.BuildoutFacet");
   @NonNls public static final String BUILDOUT_CFG = "buildout.cfg";
+  @NonNls public static final String SCRIPT_SUFFIX = "-script";
 
   public BuildoutFacet(@NotNull final FacetType facetType,
                        @NotNull final Module module,
@@ -113,7 +115,7 @@ public class BuildoutFacet extends Facet<BuildoutFacetConfiguration> implements
     BuildoutFacetConfiguration config = getConfiguration();
     final VirtualFile script = getScript();
     if (script != null) {
-      config.setPaths(extractFromScript(script));
+      config.setPaths(extractBuildoutPaths(script));
     }
   }
 
@@ -122,6 +124,29 @@ public class BuildoutFacet extends Facet<BuildoutFacetConfiguration> implements
     return LocalFileSystem.getInstance().findFileByPath(getConfiguration().getScriptName());
   }
 
+  @Nullable
+  public static List<String> extractBuildoutPaths(@NotNull VirtualFile script) {
+    try {
+      List<String> paths = extractFromScript(script);
+      if (paths == null) {
+        VirtualFile root = script.getParent().getParent();
+        String partName = FileUtil.getNameWithoutExtension(script.getName());
+        if (SystemInfo.isWindows && partName.endsWith(SCRIPT_SUFFIX)) {
+          partName = partName.substring(0, partName.length() - SCRIPT_SUFFIX.length());
+        }
+        VirtualFile sitePy = root.findFileByRelativePath("parts/" + partName + "/site.py");
+        if (sitePy != null) {
+          paths = extractFromSitePy(sitePy);
+        }
+      }
+      return paths;
+    }
+    catch(IOException e) {
+      LOG.info(e);
+      return null;
+    }
+  }
+
   /**
    * Extracts paths from given script, assuming sys.path[0:0] assignment.
    *
@@ -129,39 +154,61 @@ public class BuildoutFacet extends Facet<BuildoutFacetConfiguration> implements
    * @return extracted paths, or null if extraction fails.
    */
   @Nullable
-  public static List<String> extractFromScript(VirtualFile script) {
-    assert script != null;
-    List<String> ret = new LinkedList<String>();
-    try {
-      String text = VfsUtil.loadText(script);
-      Pattern pat = Pattern.compile("(?:^\\s*(['\"])(.*)(\\1),\\s*$)|(\\])", Pattern.MULTILINE);
-      final String bait_string = "sys.path[0:0]";
-      int pos = text.indexOf(bait_string);
-      if (pos >= 0) {
-        pos += bait_string.length();
-        Matcher scanner = pat.matcher(text);
-        boolean did_nothing = true;
-        while (scanner.find(pos)) {
-          did_nothing = false;
-          String value = scanner.group(2);
-          if (value != null) {
-            ret.add(value);
-            pos = scanner.end();
+  public static List<String> extractFromScript(@NotNull VirtualFile script) throws IOException {
+    String text = VfsUtil.loadText(script);
+    Pattern pat = Pattern.compile("(?:^\\s*(['\"])(.*)(\\1),\\s*$)|(\\])", Pattern.MULTILINE);
+    final String bait_string = "sys.path[0:0]";
+    int pos = text.indexOf(bait_string);
+    List<String> ret = null;
+    if (pos >= 0) {
+      pos += bait_string.length();
+      Matcher scanner = pat.matcher(text);
+      while (scanner.find(pos)) {
+        String value = scanner.group(2);
+        if (value != null) {
+          if (ret == null) {
+            ret = new ArrayList<String>();
           }
-          else {
-            break;
-          } // we've matched the ']', it's group(4)
+          ret.add(value);
+          pos = scanner.end();
         }
-        if (did_nothing) return null;
+        else {
+          break;
+        } // we've matched the ']', it's group(4)
       }
     }
-    catch (IOException e) {
-      LOG.error("Failed to read script", e);
-      return null;
-    }
     return ret;
   }
 
+  /**
+   * Extracts paths from site.py generated by buildout 1.5+
+   *
+   * @param vFile path to site.py
+   * @return extracted paths
+   */
+  public static List<String> extractFromSitePy(VirtualFile vFile) throws IOException {
+    List<String> result = new ArrayList<String>();
+    String text = VfsUtil.loadText(vFile);
+    String[] lines = LineTokenizer.tokenize(text, false);
+    int index = 0;
+    while(index < lines.length && !lines [index].startsWith("def addsitepackages("))
+      index++;
+    while(index < lines.length && !lines [index].trim().startsWith("buildout_paths = ["))
+      index++;
+    index++;
+    while(index < lines.length && !lines [index].trim().equals("]")) {
+      String line = lines [index].trim();
+      if (line.endsWith(",")) {
+        line = line.substring(0, line.length()-1);
+      }
+      if (line.startsWith("'") && line.endsWith("'")) {
+        result.add(StringUtil.unescapeStringCharacters(line.substring(1, line.length()-1)));
+      }
+      index++;
+    }
+    return result;
+  }
+
   @Override
   public List<String> getAdditionalPythonPath() {
     BuildoutFacetConfiguration cfg = getConfiguration();
@@ -261,7 +308,7 @@ public class BuildoutFacet extends Facet<BuildoutFacetConfiguration> implements
 
   @Nullable
   public static File findScript(Project project, @Nullable BuildoutFacet buildoutFacet, String name) {
-    String scriptName = SystemInfo.isWindows ? name + "-script" : name;
+    String scriptName = SystemInfo.isWindows ? name + SCRIPT_SUFFIX : name;
     final List<File> scripts = getScripts(project, buildoutFacet);
     for (File script : scripts) {
       if (FileUtil.getNameWithoutExtension(script.getName()).equals(scriptName)) {
diff --git a/python/testData/buildout/django-script.py b/python/testData/buildout/django-script.py
new file mode 100644
index 000000000000..e390771eb7dc
--- /dev/null
+++ b/python/testData/buildout/django-script.py
@@ -0,0 +1,18 @@
+#!"C:\Python26\python.exe"
+
+import sys
+sys.path[0:0] = [
+    'c:\\src\\django\\buildout15\\src',
+    'c:\\src\\django\\buildout15\\eggs\\djangorecipe-0.20-py2.6.egg',
+    'c:\\src\\django\\buildout15\\eggs\\zc.recipe.egg-1.3.2-py2.6.egg',
+    'c:\\src\\django\\buildout15\\eggs\\zc.buildout-1.5.2-py2.6.egg',
+    'c:\\src\\django\\buildout15\\eggs\\setuptools-0.6c12dev_r88124-py2.6.egg',
+    'c:\\src\\django\\buildout15\\parts\\django',
+    'c:\\src\\django\\buildout15',
+    ]
+
+
+import djangorecipe.manage
+
+if __name__ == '__main__':
+    djangorecipe.manage.main('shorturls.testsettings')
diff --git a/python/testSrc/com/jetbrains/python/buildout/BuildoutScriptParserTest.java b/python/testSrc/com/jetbrains/python/buildout/BuildoutScriptParserTest.java
new file mode 100644
index 000000000000..0f7ade1c9a88
--- /dev/null
+++ b/python/testSrc/com/jetbrains/python/buildout/BuildoutScriptParserTest.java
@@ -0,0 +1,32 @@
+package com.jetbrains.python.buildout;
+
+import com.intellij.openapi.vfs.LocalFileSystem;
+import com.intellij.openapi.vfs.VirtualFile;
+import com.jetbrains.python.fixtures.PyLightFixtureTestCase;
+
+import java.io.File;
+import java.io.IOException;
+import java.util.List;
+
+/**
+ * @author yole
+ */
+public class BuildoutScriptParserTest extends PyLightFixtureTestCase  {
+  public void testParseOldStyleScript() throws IOException {
+    File scriptFile = new File(myFixture.getTestDataPath(), "buildout/django-script.py");
+    VirtualFile vFile = LocalFileSystem.getInstance().findFileByIoFile(scriptFile);
+    List<String> paths = BuildoutFacet.extractFromScript(vFile);
+    assertEquals(7, paths.size());
+    assertTrue(paths.contains("c:\\\\src\\\\django\\\\buildout15\\\\eggs\\\\djangorecipe-0.20-py2.6.egg"));
+    assertTrue(paths.contains("c:\\\\src\\\\django\\\\buildout15\\\\parts\\\\django"));
+  }
+
+  public void testParseSitePy() throws IOException {
+    File scriptFile = new File(myFixture.getTestDataPath(), "buildout/site.py");
+    VirtualFile vFile = LocalFileSystem.getInstance().findFileByIoFile(scriptFile);
+    List<String> paths = BuildoutFacet.extractFromSitePy(vFile);
+    assertSameElements(paths,
+                       "c:\\src\\django\\buildout15\\src",
+                       "c:\\src\\django\\buildout15\\eggs\\setuptools-0.6c12dev_r88124-py2.6.egg");
+  }
+}