Tyumen offers Yugraneft assurances to region, JV partner

Tyumen Oil Co., Moscow, said it would retain the workforce, tax payments, and oil prices of Russian company Yugraneft, a joint venture whose ownership is in dispute with a group of Canadian investors. It gave the assurance to the governor of the Khanty-Mansiisk Autonomous region and representatives of NOREX Petroleum Ltd.

Jul 18th, 2001


By the OGJ Online Staff

HOUSTON, July 18 -- Tyumen Oil Co., Moscow, has pledged to retain the workforce, tax payments, and oil prices of Russian company Yugraneft, a joint venture whose ownership is in dispute with a group of Canadian investors.

It gave the assurance to the governor of the Khanty-Mansiisk Autonomous region and representatives of NOREX Petroleum Ltd., a Cyprus-registered company.

Yugraneft, a joint venture of NOREX and Tyumen Oil's subsidiary TNK-Nizhnevartovsk, produces oil from Malochernogorsk field.

The next step in the case is a hearing July 31 in the Khanty-Mansiisk Arbitration Court.

While the dispute is continuing, Yugraneft's revenues are accumulating in bank accounts and will be distributed as directed by a court, said Tyumen.

"Tyumen Oil has strictly adhered to court decisions and the Russian legal code in its attempts to resolve the ownership dispute," it continued.

The company said the Khanty-Mansiisk official press service has said that prosecutors and law enforcement offices "were not able to confirm" media reports of an illegal takeover of Yugraneft's offices by Tyumen.

"Contrary to media reports, Tyumen Oil has not used force to take over Yugraneft, no workers are being prevented from doing their jobs, and normal oil production is continuing," said Tyumen Oil.

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