Banks, oil firms to work on petroleum exchange in Russia
Major banks as well as predominantly state-owned oil companies could co-found Russia's new petroleum exchange at the initial stage, Vladimir Milovidov, head of the Federal Financial Markets Service, said after a meeting with Prime Minister Viktor Zubkov.
"Transneft, Rosneft and Zarubezhneft will form the backbone, with Transnefteproduct playing an active part. VTB, Gazprombank and Sberbank have expressed an interest in clearing and settlements," Milovidov said.
Major petroleum product traders like Tatneft, Surgutneftegas and NOVATEK could also have a role in establishing the bourse, he said.
Russian investigators deny criminal probe into TNK-BP
The Main Interior Directorate for the Central Federal District is not carrying out an investigation in relation to TNK-BP, said Anzhela Kastoyeva, the head of the directorate's news service.
"The recent searches in the offices of the TNK-BP company are not related in any way to the criminal inquiry into the Sidanko (oil) company (merged to form TNK-BP in 2003). Moreover, the directorate's representatives did not carry out any investigations in relation to TNK-BP," Kastoyeva said Wednesday.
The news service of the Investigations Committee under the Interior Ministry told Interfax the investigation had been carried out and documents seized as part of the criminal case regarding Sidanko.
Kazakh Parliament ratifies BTC deal with Azerbaijan
The Majilis or lower House of Kazakhstan's Parliament Wednesday ratified an agreement with Azerbaijan on the transportation of Kazakh oil via the Baku-Tbilisi-Ceyhan pipeline.
The agreement, which the upper House or Senate will now be asked to ratify, was signed June 16, 2006.
The lower House's International Affairs Committee said in a report that Kazakhstan would build a pipeline from Eskene to the Caspian port of Kuryk, which will be expanded. Oil will be shipped by tankers to Azerbaijan and then pumped into the BTC system.
Oil produced by the Agip KCO consortium at the offshore Kashagan field and by the TengizChevrOil joint venture at the Tengiz field will be shipped via the BTC pipeline, the committee materials said.
"The project will be financed by foreign investment and will not incur expenditure by the budget," the report said.
National oil and gas company KazMunaiGas, Agip KCO and TCO signed a memorandum at the start of last year on cooperation in the creation of a Kazakhstan Caspian Transportation System to bring hydrocarbons to the world markets.
Kairgeldy Kabyldin, the managing director of KazMunaiGas, said at the time the project would cost an estimated $3 billion. The system will transport an initial 25 million tons of oil to the world markets via the BTC, rising to 38 million tons per year, KazMunaiGas has said.
KazMunaiGas originally said the system should be up and running by 2010-2011, when the Kashagan field is supposed to go on stream.
KazMunaiGas and the State Oil Co. of the Azerbaijani Republic in August last year agreed to form a joint venture to build the port infrastructure.
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Closing oil prices, Mar. 27, 3 p.m. London
Brent crude oil: $104.70
West Texas Intermediate crude oil: $105.96
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