Merger of the assets of NK RussNeft and Neftisa will be based on RussNeft
Moscow. The assets of NK RussNeft and Neftisa will be merged based on RussNeft, according to Mikhail Gutseriev, owner of both companies, quoted by ITAR-TASS.
He stated that IPO of the merged company may take place within 1.5-2 years at London and Hong Kong stock exchanges.
“It will be in accordance with the IPO procedure”, Gutseriev said.
As previously informed by ITAR-TASS, Gutseriev believes that the merged company’s value will be approximately $18 billion. The oil reserves will be 700 million tons while the annual production is expected be 17 million tons. The initial public offering is scheduled for 2016.
Based on that, RussNeft intends to overtake Bashneft and Slaveneft by oil production in 2015. According to Gutseriev, as yearly as in the next year, the company’s production may be 18.5-19 million tons. In 2013, RussNeft produced 8.8 million tons, Bashneft produced 16 million tons, Slavneft produced 16.8 million tons, Neftisa produced 7 million tons.