Rosneft (ROSN) - Rosneft Board Approves BP Deal
RNS Number : 8290R
OJSC OC Rosneft
22 November 2012
Rosneft Board Approves BP Deals
A November 20 meeting of the Rosneft Board of Directors reviewed issues
relating to the deals with BP. The Board of Directors:
1. Approved Rosneft's participation in TNK-BP Limited and TNK Industrial
2. Approved Rosneft's large deal to acquire a 50% stake in TNK-BP Limited
and TNK Industrial Holdings Limited from BP for a cash consideration of USD
25.4 billion (subject to variation under conditions set down in the sale and
purchase agreement) and 3.04% of Rosneft shares (at USD 8.00 per share);
3. Approved the sale of 9.8% of Rosneft shares belonging to RN-Development
to BP at a price of USD 8.00 per share for a total cash consideration of USD
8.3 billion (subject to variation under conditions set down in the sale and
These decisions were taken in accordance with Russian government directives.
Rosneft will acquire a 50% stake in TNK-BP from BP for a cash consideration of
USD 17.1 billion and 12.84% of Rosneft shares through these approved deals.
Rosneft and BP have completed the approval process for legally binding deal
documents, which are to be signed shortly.
The totals and percentages shown above have been rounded off.
Rosneft Information Division
Tel.: +7 (495) 411 54 20
Fax: +7 (495) 411 54 21
Pelham Bell Pottinger
James Henderson / Nick Lambert /
Rollo Crichton-Stuart / Elena Dobson
+44 20 7861 3232
Notes to editors:
TNK-BP is a vertically integrated group of companies operating a diversified
upstream and downstream portfolio, with assets in Russia, Ukraine, Belarus,
Venezuela, Vietnam and Brazil. TNK-BP owns 95% in publicly listed TNK-BP
Holding and c.50% in Slavneft, a vertically integrated Russian oil company,
among other assets. TNK-BP is Russia's third largest oil producer, employs
c.50 thousand people and operates in Russia's major hydrocarbon regions,
including West Siberia, Volga-Urals and East Siberia.
As of the end of 2011, TNK-BP had proved reserves of 10.1 bn barrels of oil
equivalent under SEC classification and 14.9 bn barrels of oil equivalent
under PRMS classification. TNK-BP has achieved production growth in each of
the last three years, reaching an average daily production of 1,987 thousand
barrels of oil equivalent in 2011. The company has interests in seven
refineries in CIS, including indirect holdings through Slavneft, with a total
throughput in 2011 of 747 thousand barrels per day. TNK-BP operates a network
of 1,388 retails stations. In 2011, TNK-BP generated revenues of $60.2 bn and
net income of $9.7 bn.
BP is a leading international oil and gas company engaged in the exploration,
production, refining and distribution of natural gas, petroleum and other
related products. The company employs c.83 thousand people and has exploration
and production activities in 30 countries with major interests in the U.S.,
Russia, Azerbaijan, Angola, the United Kingdom, North Africa, Canada, the
Middle East and Asia.
At the end of 2011, BP had proved reserves of 17.8 bn barrels of oil
equivalent under SEC classification. BP's average daily production of
hydrocarbons in 2011 reached 3,454 thousand barrels of oil equivalent,
including its share of TNK-BP. As of the end of 2011, BP had interests in 16
refineries with a total throughput of 2,352 thousand barrels per day and
21,800 BP branded retail sites. BP's market capitalisation is $136.9 bn as of
19 October 2012. In 2011, BP generated revenues of $375.5 bn and net income of
These materials contain statements about future events and expectations that
are forward-looking in nature. Any statement in these materials that is not a
statement of historical fact is a forward-looking statement that involves
known and unknown risks, uncertainties and other factors which may cause
actual results, performance or achievements expressed or implied by such
forward-looking statements to differ. We assume no obligations to update the
forward-looking statements contained herein to reflect actual results, changes
in assumptions or changes in factors affecting these statements.
This information is provided by RNS
The company news service from the London Stock Exchange
ROMMMMZMKZZGZZM -0- Nov/22/2012 15:15 GMT
Press spacebar to pause and continue. Press esc to stop.