Rosneft is to be out of direct state control by 2016
OJSC Rosneft should be removed from the state’s direct control by 2016, Prime Minister Dmitry Medvedev told a meeting of the Russian government. According to Dmitry Medvedev, the state should reduce its presence in the competitive sector of the country’s economy, create the conditions for fair competition, to attract additional investment in the development of businesses and industries in general.
"Of course, the adopted decisions must be balanced, strategically sound. We need to take into account the current situation on the capital market, possible risks. But in any case we should move forward, sustaining the projected pace and timing," said the prime minister.
The draft order of the Russian government provides for full or partial privatization of major corporations, such as SCF Group, Sberbank of Russia, VTB Bank, United Grain Company, Rosagroleasing, RUSNANO, Russian Railways. The list also includes the largest energy generating and oil companies, including Rosneft.
Rosneft is one of the largest public oil and gas companies worldwide. The Company is primarily engaged in exploration and production of hydrocarbons, production of petroleum products and petrochemicals, and marketing of outputs. Rosneft has been included in the Russian Government’s List of Strategic Enterprises and Organizations. The Russian Government holds a 75.16 percent stake in the Company (through the 100% state-owned Rosneftegaz), some 15% of shares are in free-float.