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

. Last Updated: 07/27/2016

LUKoil Sets Sights On NYSE

LUKoil, predicting a major jump in its share price if President Boris Yeltsin is re-elected, will seek a listing on the New York Stock Exchange next year, LUKoil president Agit Alekperov said Monday.

"We're now preparing a program to issue ... our own shares on the New York exchange next year," he told reporters.

LUKoil, the country's biggest oil company, was one of about 20 Russian blue-chips that met with New York Stock Exchange officials in Moscow last month to discuss listing requirements on America's main stock exchange.

Alekperov did not provide further details on the issue, but said LUKoil will not issue level-three ADRs, which allow firms to raise new capital, this year.

Alekperov, who has vocally supported Yeltsin in his re-election bid, said Monday that after the presidential election LUKoil's share price would leap. LUKoil's share price closed Monday at $8.37 on the Russian Trading System.

"We predict after June 16 an increase in the price of our securities by several times," he said. "Yeltsin is the only person in a position to see through the reforms begun in 1991-92."

A communist victory could result in LUKoil and other energy giants being renationalized, he said.

Alekperov singled out the Caspian Sea region as a top investment zone, saying by 2005 the area will be "No. 1 for our company's investment policy."

LUKoil officials planned to fly Monday to Azerbaijan's capital Baku for a Tuesday signing of the Shah-Deniz project, in which LUKoil will acquire a 15 to 20 percent stake from Azerbaijan's state oil company SOCAR.

In May LUKoil announced 1995 pre-tax profits of 3.43 trillion rubles ($700 million). Many oil majors have complained about absurdly high taxes. Alekperov said LUKoil hopes a presidential decree due to take effect from Jan. 1, 1997 will "give us the opportunity to lighten our tax load a little bit."