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Thursday April 07, 12:32
Russia’s Gazprom to found giant entity merging with Rosneft
(by Helen Snow)

Russia is going to repeal all limitation on foreign ownership of the world’s biggest gas producer OAO Gazprom this year, Russia’s economics and trade minister said Wednesday.

The move will allow foreign companies to acquire domestically listed stock in Gazprom though it is targeted on merging with state-owned oil company Rosneft. The possible deal would give the state a controlling stake in the new entity.

Despite the rat race between Rosneft and Gazprom, Gazprom CEO Alexei Miller has said the merger is expected to prosecute before July, or even before Gazprom’s annual general meeting on June 24.

The Gazprom-Rosneft merger was suspended because of the possibility of international lawsuit over the disputed asset, but the U.S. court rejected the Yukos case last month. Rosneft has since tried to push the merger through Gazprom’s doggedness that Yugansk, which has not lost potentially litigious appearance yet, be kept out of the deal.

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