On 6 June the Bashkortostan Arbitration Court held a preliminary hearing on Rosneft’s lawsuit against Sistema. The court accepted Rosneft’s new estimate of the damages it wishes to recover, which went up from $1.9bn in May to $3bn this month. The court’s willingness to accommodate Rosneft’s requests – for instance, to accept Sistema’s internal correspondence
At a press briefing during his visit to China on 15 May, Putin addressed the issue of dividend payments by state-owned firms. Last year, the government set these dividends at the rate of at least 50% of the firms’ net incomes. They can be calculated in accordance with the International Accounting Standards (IAS) or Russian
In the first test case following President Putin’s order to Sechin to stop challenging the government with demands for benefits, the cabinet will likely reject Rosneft’s request for fiscal breaks for its refineries. Sechin made the request last year, and in February, Rosneft First Vice President Pavel Fedorov suggested that the company would freeze the
For the first time in the last few years, President Vladimir Putin has ordered Rosneft CEO Igor Sechin to restrain his ambitions. Putin’s order specifically concerned the latest standoff between Sechin and Transneft President Nikolai Tokarev, but its implications are far wider. Sechin was ordered to dismantle the security team at Rosneft and stop flooding
In early March VTB Bank President Andrei Kostin acknowledged the bank’s potential interest in acquiring a stake in NNK, an oil company established by Rosneft’s former President Eduard Khudainatov in 2013. Kostin’s statement is the first official acknowledgement of the impending sale, which has become increasingly unavoidable in the last year as NNK struggled to
On 21 February Rosneft and the Tripoli-based NOC signed a “cooperation framework agreement.” The preliminary agreement was signed in London by NOC chairman Mustafa Sanalla and Rosneft CEO Igor Sechin on the sidelines of the International Petroleum Week conference and publicly announced the following day.
Earlier this month, Gazprom Deputy CEO Valeriy Golubev rejected Rosneft’s request to have up to 2.5 bcma of gas delivered to the company’s proposed Eastern Petrochemical Complex, known as the VNKKh. The project, which is set up as a partnership between Rosneft and China National Chemical Corporation (ChemChina), has been one of Rosneft CEO Igor
Rosneft CEO Igor Sechin has started the new year in the same combative style that defined his conduct in 2016. In the last few weeks, Rosneft challenged two major state-controlled oil and gas firms, Gazprom and Transneft. In the first case, Sechin has formally requested President Vladimir Putin’s permission to export pipeline gas; in the
Earlier this week, Rosneft expanded one of its oil delivery contracts with China that uses Kazakhstan as a transit country. In 2013 Rosneft signed a five-year contract to supply 7 mta of crude using the KazTransOil (KTO) system and expanded pipeline capacity to China. Now, Rosneft extended the contract with CNPC to 2024 and increased
As details continue to emerge regarding the privatization of a 19.5% stake in Rosneft, it is becoming increasingly apparent that key features of the deal remain hidden.
The immediately striking aspect of the transaction is that the two buyers, Glencore and the QIA, are putting up only…