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Russneft boss 'bullied out of a job'



By Upstream staff 

Mikhail Gutseriyev stepped down as president of Russian producer Russneft today, claiming he was 'bullied out of his job', and saying he would cede control of the company to billionaire Oleg Deripaska.

"The company has become the target of unprecedented bullying. I'm handing control in the company to a new owner, and I'm sure all Russneft's troubles will be sorted out with his arrival," Gutseriyev said in a statement made public on Russneft's website.

Russneft later confirmed its board had accepted Gutseriyev's resignation and appointed company vice president Oleg Gordeyev, a former deputy energy minister, as acting head of the company.

Last week, Basic Element, Deripaska's investment vehicle, filed for permission from Russia's antimonopoly agency to buy control in Russneft in a deal valued by sources at $6.5 billion, including $3 billion cash and the company's heavy debt.

Russneft's owners confirmed on Sunday they would welcome Basic Element as the new owner. Deripaska, Russia's second-richest man, is considered a close ally of President Vladimir Putin.

Tax officials have brought a string of claims against Gutseriyev, whose personal fortune is valued at $3 billion by US magazine Forbes, and threatened to nationalise Russneft's shares.

"All charges made - tax non-payment, violations of licensing agreements, share dilutions - are ridiculous and do not stand up to scrutiny," Gutseriyev said in a letter to his company's 25,000 staff.

Some have compared state pressure on Russneft to an earlier campaign by the Kremlin to dismantle oil giant Yukos. Its founder Mikhail Khodorkovsky is now serving an eight-year jail term, while assets of the bankrupt company were auctioned off to recover a $30 billion bill for back taxes.

Other analysts told Reuters the comparisons are inappropriate, as the Russneft case is mostly about economics, while the treatment of Yukos was politically motivated. Khodorkovsky has said the Kremlin destroyed Yukos to punish him for political activities.

Russneft was set up five years ago from scratch when Gutseriyev, formerly the head of the state-controlled oil player Slavneft, bought some of Slavneft's assets at knock-down prices soon after its privatisation. Gutseriyev repeatedly denied any wrongdoing in these transactions.

Russian media also reported he had angered the Kremlin by buying some of Yukos' assets prior to the company's bankruptcy without asking for permission from state authorities.

Russneft produces 300,000 barrels of oil per day, has two refineries and recoverable oil reserves of 4.6 billion barrels.


Monday, 30 July, 2007, 14:36 GMT  | last updated: Monday, 30 July, 2007, 14:40 GMT

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