16:26 29.12.2014

Tatneft may sell filling stations in Ukraine, intends to seek full compensation for Ukrtatnafta

Tatneft may sell filling stations in Ukraine, intends to seek full compensation for Ukrtatnafta

Tatneft is not ruling out the sale of its chain of filling stations in Ukraine, Tatneft CEO Nail Maganov said at a press conference on Monday.

"Today these filling stations are working, sales are growing," Maganov said.

He said that the company is expecting to maintain sales of petroleum products at the previous level, investments in business development are not being planned. "If there is a good buyer, why not to sell, but we are not expecting someone to invest money in the current situation," Maganov said.

Concerning the topic of Ukrtatnafta, the general director said that according to the decision of an international tribunal, it was ordered that Tatneft be paid $112 million.

"We are not happy with this sum, and today we worked out a strategy for how we will work on the compensation of full damages for Tatneft," Maganov said.

Answering a question about foreign projects, Maganov said that in connection with the situation in Syria and Libya work will not be done there. "In August, force majeure happened again in Libya. Local residents are working there, equipment was stored," the general director said.

"In May 2008, Tatneft commenced international arbitration against Ukraine on the basis of the agreement between the Government of the Russian Federation and the Cabinet of Ministries of Ukraine on the Encouragement and Mutual Protection of Investments of November 27, 1998 ("Russia-Ukraine BIT") in connection with the forcible takeover of Ukrtatnafta and seizure of shares of the Group in Ukrtatnafta," the company said, explaining the origin of the case. The company won the case - the court made Ukraine pay Tatneft compensation of $112 million plus interest. Ukrtatnafta announced its readiness to compensate the state for all expenses connected with payments in accordance with the court's decision.

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