BP in Russia
In October 2012, BP has announced an agreement in principle to sell its 50% shareholding in TNK-BP to Rosneft for a mix of cash and shares.
Russia is a huge country with enormous potential – it is a global economic power and a major source of oil and gas
BP is one of Russia’s largest foreign investors. With a history in Russia of over 20 years and with activities spanning across exploration, the refining of lubricants, marine products and trading operations, BP has played a significant role in the development of country’s oil and gas sector.Working closely with its various Russian partners, BP has brought significant investment, cutting edge technology and management expertise to help the country realise its enormous energy potential.
BP’s joint venture, TNK-BP, which was formed with its partners AAR in 2003, has been hugely successful. The company has become Russia’s third biggest oil producer and a big employer in the country, with over 50,000 local staff across all areas of operation. It also provides world-class knowledge and expertise, supporting Russia’s efforts to develop its extensive resource base.
TNK-BP has generated a net profit of over $48bn since its creation and has made significant contributions to the wider Russian society. Corporate social responsibility and improving its best business practices have been a focus of the firm since its creation. Moreover over the last decade, the joint venture has paid the Russian government over $167bn in taxes and duties.
BP’s other areas of business in Russia can be grouped into four main categories: lubricants, BP Marine, Air BP and Integrated Supply and Trading (IST).
Setra Lubricants markets and distributes BP and Castrol branded lubricants in the Russia market with annual turnover of more than $200 m. Baltic Petroleum — 100% owned by BP — supplies marine lubricants for international shipping vessels from its base in St Petersburg and to other parts of the premium domestic shipping market. BP Marine promotes two lubricants worldwide, BP and Castrol.
Air BP is one of the world’s major suppliers of aviation fuels, lubricants and special fluids. The Air BP in Moscow provides its Russian customers with a personal relationship and service as well as with access to all the benefits of its wider, global operation.
IST is BP’s global trading arm for crude oil, petroleum products and gas. IST sources more than 40 million tonnes of crude oil and petroleum products from Russia and the CIS.
Setra Lubricants markets and distributes BP and Castrol branded lubricants in the Russia market with annual turnover of more than $200 m. Baltic Petroleum — 100% owned by BP — supplies marine lubricants for international shipping vessels from its base in St Petersburg and to other parts of the premium domestic shipping market. BP Marine promotes two lubricants worldwide, BP and Castrol.
Air BP is one of the world’s major suppliers of aviation fuels, lubricants and special fluids. The Air BP in Moscow provides its Russian customers with a personal relationship and service as well as with access to all the benefits of its wider, global operation.
IST is BP’s global trading arm for crude oil, petroleum products and gas. IST sources more than 40 million tonnes of crude oil and petroleum products from Russia and the CIS.
Today, BP’s involvement in Russia extends beyond business. One example of this is a launch in December 2011 of a $50m CSR investment programme, which is being used to help support Russian initiatives and projects across technology and education, with the primary aim of bolstering research, technological innovation and management skills in the energy sector. BP’s partners in these endeavours include universities and institutions of higher learning in Moscow, St. Petersburg, Kazan, Tomsk, Novosibirsk, Irkutsk and Vladivostok, SKOLKOVO School of Management and the Russian Geographic Society. BP is also dedicated to supporting cultural institutions in Russia, such as the Mariinsky Theatre, The Tretyakov Gallery, the Moscow Conservatory and Politechnical Museum.
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More on our products and services in Russia. This is a Russian language site
