TNK-BP board approves bid for BP assets: report

1st October 2010, Comments 0 comments

The board of TNK-BP, the British oil major BP's venture with a group of Russian billionaires, has approved a bid to buy BP assets in Vietnam and Venezuela, a source close to the talks said Friday.

"The board has approved these decisions," the source told the RIA Novosti news agency.

At a board meeting, a "price range" was agreed and TNK-BP could make an offer to BP next week, the source said, without elaborating.

It was not immediately possible to confirm the report with TNK-BP's office in Moscow.

In July, the Russian-British venture expressed an interest in the assets that BP wanted to sell in Venezuela. This week, Russian media reported that TNK-BP was also interested in buying BP's gas assets in Vietnam.

On Wednesday, TNK-BP announced it had signed a year-long contract to deliver Siberian oil to Vietnam's state-owned PetroVietnam.

The deputy chairman of TNK-BP's management board, Maxim Barsky, on the same day announced a plan to create a joint enterprise with PetroVietnam in October this year.

TNK-BP, which is Russia's third-biggest oil producer, was created in 2003. It is 50-percent owned by BP with the other 50 percent belonging to a consortium of billionaire Russian industrialists.

BP has announced that it wants to sell assets worth 30 billion dollars, around 10 percent of its total assets, in order to compensate the victims of the Gulf of Mexico oil spill.

© 2010 AFP

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