TNK-BP to Cut 2009 Spending

TNK-BP plans to cut investment next year as it keeps production "broadly flat."

The board endorsed a plan for capital expenditures of $3.3 billion, acting CEO Tim Summers said Thursday. The company, which intends to spend about $4.4 billion on projects this year, targets output of about 600 million barrels of oil equivalent in 2009 as higher extraction from new fields counters depletion elsewhere, he said.

TNK-BP said on Dec. 1 that CEO Robert Dudley would leave the company after two groups of shareholders agreed to remove him to end a dispute over management at the company.

The board "reviewed progress of the top management and governance transition currently under way inside TNK-BP," the company said Thursday. "There was no discussion or nomination of any individual candidate."

TNK-BP expects to cut operating costs by 10 percent next year in ruble terms, or about 20 percent in dollars, Summers said.