Support The Moscow Times!

Minority Suit Against BP to Be Dropped

Minority shareholders in Anglo-Russian oil firm TNK-BP are withdrawing a 100 billion ruble ($3.2 billion) damages lawsuit against BP after the main stakeholders agreed last month to sell their stakes to Rosneft.

In July, a Siberian court awarded the damages against the British oil major in a case brought by a group of minority shareholders in TNK-BP's listed unit, TNK-BP Holding. BP appealed the judgment.

BP lawyer Konstantin Lukoyanov said the judge had confirmed that the minorities had applied to withdraw their suit. A hearing will be held Dec. 14, and the litigation is expected to be formally dropped.

"Of course, we wouldn't object," Lukoyanov said Monday.

The case stemmed from BP's failed attempt last year to forge a partnership with state oil major Rosneft. The deal fell apart after it was blocked in the courts by AAR, a consortium that represents four billionaire co-owners of TNK-BP.

The feuding partners at TNK-BP have since agreed to sell the business to Rosneft for $55 billion and have dropped all legal disputes as they seek to wrap up what would be Russia's largest ever takeover deal.

AAR has denied any connection to the minority lawsuit, which was brought by a group of investors led by Andrei Prokhorov. The plaintiffs sought damages and argued that the failed BP-Rosneft deal would have harmed TNK-BP financially by excluding it from a proposed offshore exploration alliance.

Related articles:

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more