Support The Moscow Times!

Medvedev Key to BP Deal

The government of Dmitry Medvedev holds the key to BP's ambitions to sell out of TNK-BP, Deputy Prime Minister Arkady Dvorkovich said Tuesday.

"There is only one bid for that [stake] right now, as far as we heard," Dvorkovich said of BP's holding in TNK-BP. "In any case, Rosneft, if it will go for this transaction, will have to ask for instruction from the government. It cannot do otherwise," he told the Reuters Russia Investment Summit.

He also said Rosneft's possible purchase of a TNK-BP stake ran counter to its plans to cut state influence on the economy by putting a major producer under control of a state controlled company.

"The [domestic oil] market structure is both competitive and at the same time consolidated enough, at least for the market to be predictable," he said. "I do not see any specific arguments why … the government should stimulate further consolidation in the oil market."

(Reuters)

Related articles:

Read more

Independent journalism isn’t dead. You can help keep it alive.

The Moscow Times’ team of journalists has been first with the big stories on the coronavirus crisis in Russia since day one. Our exclusives and on-the-ground reporting are being read and shared by many high-profile journalists.

We wouldn’t be able to produce this crucial journalism without the support of our loyal readers. Please consider making a donation to The Moscow Times to help us continue covering this historic time in the world’s largest country.