Rosneft has bought the remaining 49% of gas company Itera for US$ 2.9 billion, furthering its aim of becoming Russia's largest independent gas producer. A 51% stake had previously been acquired in August 2012, when Rosneft completed a deal with Itera to create a joint venture for the production and sale of gas.
Itera is Rosneft’s second largest acquisition, after its US$ 55 billion takeover of TNK-BP in March 2013. According to Rosneft CEO, Igor Sechin, consolidation of Itera Oil and Gas Co., LLC will have a significant multiplier effect on future growth, generating additional synergies and ultimately increasing the total capitalisation of the company and bringing additional value to shareholders.
Rosneft, together with Novatek, is additionally lobbying for access to export liquefied natural gas, a right currently held solely by Gazprom. Rosneft and Novatek are planning new LNG facilities in Asia and Siberia respectively.
Sechin has additionally expressed his intent that Rosneft gas output be increased to 100 billion m3/y by 2020, up from approximately 13 billion m3 last year. In contrast, Russia’s dominant gas producer, Gazprom produced 479 billion m3 in the same year.
Edited from various sources by Emma McAleavey.
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