Install

Get the latest updates as we post them — right on your browser

. Last Updated: 07/27/2016

Russia to Create Three New Oil Holding Firms

The Russian government is planning to set up three new vertically integrated oil holding companies to help consolidate the nation's petroleum sector, according to Interfax.


The news agency quoted Fuel and Energy Minister Yury Shafranik as saying last week that the new companies would be formed from mining, refining and distribution enterprises in western, eastern and far eastern Siberia.


The government has already created three integrated oil giants, Lukoil, Yukos and Surgutneftegaz, to help speed privatization in the oil industry.


The western Siberian conglomerate will include the Nizhnefatovskneftegaz, Noyabrskneftegaz and Permneft oil mining enterprises, Interfax said.


The new Siberian Far Eastern Oil Company (Sidanco) will unite the Varyeganneftgaz, Chernogorneft, Kondneproneft and Permneftegaz oil companies with the Angarsknefteorgsintez and Saratov oil refineries possibly including the Urdmurtneft mining enterprise also.


The third new conglomerate, the Eastern Oil Company, will combine the Tomskneft oil company, the Achinsk oil refinery and eastern Siberian prospecting and distribution firms.