TNK-BP signs deal to supply oil to Vietnam: company

29th September 2010, Comments 0 comments

TNK-BP, British oil major BP's venture with a group of Russian billionaires, has signed a contract to deliver Siberian oil to Vietnamese state-owned company PetroVietnam, the company said on Wednesday.

The contract is for one year, with the delivery volumes to be agreed each month, the company said in a statement, adding that the first consignment of 100,000 tons of oil will be supplied to Vietnam in November.

TNK-BP has "entered into a long-term contract with state corporation PetroVietnam to supply... Russian ESPO crude," the company said in a statement, referring to the East Siberian Pacific Ocean oil pipeline.

The deal is a "key step in securing TNK-BP's footprint in the Asia-Pacific over the longhaul," the deputy chairman of TNK-BP's management board, Maxim Barsky, was quoted as saying in the statement.

TNK-BP also plans to create a joint enterprise with PetroVietnam in October, Barsky, the company's press service told AFP.

The joint venture may include up to a 50-percent stake in PetroVietnam's Dung Quat oil refinery as well as in its Russian oil fields, the company said.

"We have been offered the chance to participate as a strategic partner and get up to 50 percent (in the plant)," the company quoted Barsky as saying in a statement.

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

© 2010 AFP

0 Comments To This Article