Business
Rosneft Delivers on Putin’s Ambitions, at Some Cost to Investors
The Russian company spent $100 billion on its transformation into a global oil giant.
An oil drilling rig, operated by Rosneft PJSC, near Nizhnevartovsk, Russia, on March 21, 2017.
Photographer: Andrey Rudakov/BloombergThis article is for subscribers only.
The $100 billion transformation of Rosneft PJSC into a global oil giant has been a key plank of Vladimir Putin’s push to restore Russia’s status as a major power. Whether this has delivered value for investors is increasingly debatable.
The state-run company is a clear symbol of the Kremlin’s comeback. It’s become the world’s largest listed oil producer by swallowing up a clutch of domestic rivals. With deals this year from India to Venezuela and Egypt, Rosneft is on the way to being a global player whose expansion often aligns with Russian foreign policy priorities.