British Petroleum invests money into Tyumen Oil-Processing Company, аnd this company funds German oil-processing plants converting cheap Russian oil into expensive European gasoline.
Informing President Putin about the successful execution of budget in 2003, Prime Minister Michail Kasyanov stressed that the amount of the funds drained out of Russia reduced greatly, up to 2.9 billion dollars. This fact is not surprising – only BP alone invested more than 6 billion dollars in its joint-venture enterprise with Tymen Oil-Processing Company. Other Western companies invested in Russian economy as well. This is probably good, but it is clear there is nothing to spend these investments on in Russia. What are their recipients are going to do with them?
It is clear that BP and Tyumen Oil-Processing Company purchased each other’s shares, but in addition BP paid $3 billion to its Russian partner. Moreover, there have been the reports that this is not sufficient amount for the British (or Russians from Alpha-group). Therefore BP made the decision to get rid of the part of their assets (which are profitable enough) and invest the earned money in joint project with Alpha. Brave British seem not to be afraid of possible accusations of Russian Attorney General Office to Alpha and Tyumen Company.
According to the latest information, BP intends to sell 70 percent of its Malaysian branch shares. This branch owns 240 gas stations in this country. According to BP director on corporate public relations Rosli Khussin, the decision has been made, and the gas station network will be sold at the open auction. He added that 30 gas stations in Singapore will be sold as well, and BP also plans to sell its enterprises on processing accompanying oil gas in Malaysia and Singaporeа.
Mr. Khussin confirmed that the company needs money to continue investing in some regions having rich potential, and Russia is one of them. He said BP invested 6.35 billion dollars in Russia in 2003, and this is just the beginning, BP intends to use the new strategy, in particular in the retail market.
According to the foreign mass media, the rest 30 percent of BP assets in Malaysia are still under control of Lembaga Tabung Angkatan Tentera Trust Fund.
BP continues investing eastward, and its Russian partners from Alpha-group continue starting new projects with Western partners. According to German press, Alpha is going to invest in Germany the money it received from BP. Handelsblatt newspaper writes that joint Russian-British venture company TOPC-BP which includes the oil and gas assets belonged to Access/Renova group (TOPC International shareholders who are named AAP together) and the oil and gas assets belonged to BP in Russia and Ukraine, is going to purchase in Germany oil-processing capacities at the price minimum one billion dollars.
According to this German newspaper, Alpha-group intends to purchase shares of the four German oil-processing plants. In particular, the Russian Concern is negotiating purchasing the shares of Venezuelan PDVSA company in the capital of oil-processing plants in Ingolshtadt, Carlsrue, Shvedt and Gelzinkerkhen, Alpha’s director on planning investment activity Andrei Gusev said in an interview to Rosbiznesconsulting information agency. According to him, the agreement of intention with the Venezuelans has already been signed.
Ruhr Oel GmBH company owns the oil-processing plant in Gelkzenkirkhen along with the shares (25 percent) of the oil-processing plant of Bayernoil company in Ingolshtadt, Miro – in Carlsrue (24%) and RSK – in Shvedt (37,5%). 50% of the shares of Ruhr Oel GmBH belong to PDVSA, the rest 50 percent– TOPC’s partner ВР.
Handelsblatt quotes the estimates of German experts that Alpha-Group needs capacities in Germany to process 12-13 million tons of raw oil. Russian oil is going to be supplied along Druzhba pipe-line – former leading Soviet construction. Another part of the oil will be transported through the ports of Rotterdam and Marsel.
In this way, the trend described by “Pravda.ru” continues – Russian oil companies extract cheap oil in Russia, bring it out of the country, process and sell at the world market prices. With the support of BP Alpha can expand in Europe its business common for Russian oligarchs. The British company’s support should include money as well. If for this project BP is ready to stop its business in another part of the world, Alpha will definitely succeed. Probably the Kremlin high-ranking officials advised BP CEOs to do this.
Forest fires in Siberia have been raging for three months already. They have become a disaster not only of Russian, but of global scale. The fires have already scorched 12 million hectares of land