Rosneftegas Corp., the Russian republic's recently established oil and gas corporation, named Bankers Trust Co., New York, and Daiwa Europe as its joint financial advisers.
Bankers Trust said Rosneftegas aims to revitalize the Russian oil industry and bring its standards of efficiency and productivity up to internationally competitive levels.
Echoing statements he made to reporters at The Hague last December at the signing of the Pan-European Energy Charter, Russian Energy and Fuels Minister Vladimir Lopukhin said Rosneftegas intends to push ahead quickly with plans to stimulate more competition in the Russian energy sector. He called that a precursor to further fundamental operational reforms.
To that end, Rosneftegas' assignment will include two main components: assistance in restructuring the Russian oil industry and execution of specific projects with oil producing units.
BANKERS' ROLE
Rosneftegas is looking to Bankers Trust and Daiwa to devise and carry out a strategy for reconfiguration of the industry, as well as for the future management of Rosneftegas and individual oil units.
Among the options to be considered are the reorganization of certain enterprises as well as possible creation of new, integrated oil concerns with activities ranging from exploration through petroleum product distribution. At the same time, Bankers Trust and Daiwa will start the restructuring of certain enterprises, including making changes in ownership to accommodate wider Russian and foreign participation, as well as design and execute several specific projects in cooperation with foreign investors.
The advisers also will assist Rosneftegas and the enterprises in evaluating business proposals received from western oil companies.
Rosneftegas is a joint stock company created in October 1991. Its founders and owners are the 47 main oil production, exploration, and related service units of Russia that together account for about 90% of the oil production in the former Soviet Union.
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