Rosneft (ROSN) - Rosneft signs definitive agreements with BP
RNS Number : 8359R
OJSC OC Rosneft
22 November 2012
Rosneft signs definitive agreements to acquire a 50% stake in TNK-BP from BP
Rosneft today announces that it has entered into definitive agreements with BP
for the purchase of BP's 50% interest in TNK-BP in exchange for $17.1 billion
in cash and 12.84% Rosneft shares currently held in treasury. The completion
is subject to regulatory approvals, and is expected to occur in the first half
In addition, BP has entered into an agreement to purchase from Rosneft's
parent, Rosneftegaz, a further 600 million Rosneft shares, representing a
5.66% stake in Rosneft. at a price of $8.00 per share.
On completion of the above transactions, BP will hold a 19.75% stake in
Rosneft, inclusive of its existing 1.25% interest.
Rosneft is in advanced negotiations with the AAR consortium (Alfa Group,
Access Industries and Renova) ("AAR") of a definitive agreement to acquire
AAR's 50% interest in TNK-BP pursuant to the heads of terms announced on 22
October 2012. If and when a definitive agreement is signed, an appropriate
announcement will be made. The transaction with AAR is independent of the
transaction with BP.
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 Russian oil company 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 December 2011, TNK-BP had proved reserves of 10.1bn barrels of oil
equivalent under SEC standard and 14.9bn barrels of oil equivalent under PRMS
standard. 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 $60.2bn and net income of
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 17.8bn barrels of oil equivalent
under SEC standard. 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
throughput of 2,352 thousand barrels per day and 21,800 BP branded retail
sites. In 2011, BP generated revenues of $375.5bn and net income of $26.1bn.
BP's market capitalisation is $136.9bn as of 19 October 2012.
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
AGRBTBFTMBBTBBT -0- Nov/22/2012 16:16 GMT
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