Tribunal extends injunction on BP-Rosneft deal

8th April 2011, Comments 0 comments

An arbitration tribunal on Friday extended a injunction on a deal between BP and Russia's Rosneft, the Russian shareholders of the British giant's local joint venture said in a statement.

The Stockholm panel's decision deals another blow to BP's plans to conclude a tie-up with Russia's biggest oil company in a share swap and joint Arctic oil exploration agreement that was first announced in January.

The same panel last month extended its injunction on the deal, arguing that it violated BP's shareholder agreement with TNK-BP, its Russian joint venture.

The Russian billionaires in TNK-BP had been fighting the tie-up, arguing that the joint venture had first rights to any deal with Rosneft.

After last month's decision, BP tried to have the Stockholm panel approve the share swap part of the deal on its own, dropping the Artic exploration agreements.

On Friday, the Stockholm panel refused but allowed BP more time to submit further evidence to back its claim for the share swap to go ahead.

© 2011 AFP

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