Russia, A Home to The Second Largest Oil Deal in History?

After it was yesterday reported that AAR consortium has agreed to sell its stake in TNK-BP for $28 billion to Rosneft, Bloomberg today announced that Rosneft has also tabled a similar bid for BP’s stake in TNK-BP.

The value of the potential acquisition will reach an estimated $56 billion, which would be the second largest oil industry acquisition in history. To remind, the largest oil deal ever is the one from 1998, when Exxon Corp. bought Mobil Corp. for $80 billion.

TNK-BP is Russia’s third largest oil company and is parity-owned by UK’s BP and AAR (a consortium of Alfa Group, Access Industries, and Renova). The company was formed in 2003 as the result of the merger of BP’s Russian oil and gas assets and the oil and gas assets of AAR.

Offshore Energy Today Staff, October 18, 2012