BP has announced that it has completed a transaction with Alfa Group and Access-Renova to expand its stake in the Russian oil and gas producer, Sidanco, from 10 to 25 per cent.
According to a statement, BP has agreed to pay $375 million for an additional 15 per cent of Sidanco, to take its interest to 25 per cent plus one share, a level of equity that matches its current voting rights.
BP staff currently hold the posts of chairman of the board and president, as well as several other key executive positions, and its increased holding will further consolidate its influence in the company.
Sidanco is said to produce 380,000 barrels of oil a day gross, mainly at facilities located in Western Siberia, including the recently returned Chernogorneft assets. Alfa Group and Access-Renova will remain majority stakeholders in Sidanco following the completion of this transaction.