By the OGJ Online Staff
HOUSTON, Oct. 22 -- Russian company Lukoil won two auctions for stakes in the Nizhni Novgorod (Norsi-Oil) oil refinery.
It now holds 85.36% of the refinery for a purchase price of $26 million and assumption of 1.5 billion rubles ($50.8 million) in debt. Lukoil is also expected to invest heavily in the modernization of the plant.
Sibneft also bid for the 40% and 45.36% stakes in the refinery; the starting price was $21.8 million.
Lukoil said it is a major crude supplier for the plant and has worked closely with it for 5 years.
"By purchasing Nizhni-Novgorod refinery, we continue to carry the policy of achieving high competitive position on the world market," said Vice-Pres. Leonid Fedun. He said NORSI-Oil would become one of the leading enterprises of the Russian oil industry after the modernization.