Rosneft to repatriate TNK-BP assets from Cyprus

Russian state oil giant Rosneft said Friday it plans to repatriate assets inherited through its recent take-over of TNK-BP which are registered in several of the world’s tax havens, including in Cyprus.

“Considering the risks in offshore zones, we will reregister all our assets in Russia,” Rosneft chief executive Igor Sechin told reporters.

Rosneft became the world’s top listed oil firm after completing Thursday the $56-billion deal to buy the remaining BP-held stakes in the TNK-BP oil-firm joint venture. Earlier this year it had bought the Russian stakes.

Aside from Cyprus, TNK-BP also had assets registered in the Caribbean.

Sechin said the registration of assets in Russia will result in higher taxes on Rosneft, and higher dividend payments to the state.

Numerous Russian companies have incorporated themselves in Cyprus to benefit from favourable tax laws there.