Support The Moscow Times!

TNK-BP Pays Dividend

TNK-BP, Russia's third-largest oil company, plans to hike its 2011 dividend by a larger-than-expected 12 percent to $6.6 billion.

The board of TNK-BP Holding, the traded entity of TNK-BP, recommended Tuesday paying a dividend of 9.96 rubles (32 cents) per ordinary and per privileged share. That is on top of a first-half dividend of 3.41 rubles per share.

TNK-BP Holding is 95 percent owned by Cyprus-registered Novy Investments, which is in turn controlled by TNK BP Ltd., a 50-50 joint venture between oil giant BP and Russia-linked consortium AAR.

"TNK-BP once again supported its status as the best dividend payer among Russian oils," VTB Capital analysts said. "This is strongly positive for the company and the sector overall."

Last month a senior Russian official questioned the company's dividend policy, saying it was underinvesting in its pipeline infrastructure, which resulted in oil spills in Siberia.


Read more

The need for honest and objective information on Russia is more relevant now than ever before!

To keep our newsroom in Moscow running, we need your support.