BP has held a 19.75 percent stake in the Russian state-owned company since 2013. Because of the exit, BP will write down up to $25 billion at the end of the first quarter, a company spokesman said. Around five percent of global oil production is produced by Rosneft.
In addition, BP executives Bernard Looney and Bob Dudley will resign from their positions as Rosneft board members with immediate effect. Helge Lund, head of BP's Supervisory Board, said, "The Russian attack on Ukraine is an act of aggression with tragic consequences for the entire region. BP has been active in Russia for more than 30 years, working there with outstanding colleagues. But the military action presents us with a fundamentally different situation. We cannot simply continue our business with Rosneft, a state-owned company in Russia."
"Best decision for shareholders"
Lund sees exiting the Russian business as the "best long-term decision in the interest of our shareholders." BP CEO Bernard Looney added: "Like many others, I am shocked and saddened by the situation in Ukraine. It has made us fundamentally rethink our position on Rosneft."
BP has been pursuing a low-carbon strategy for some time, with electric mobility and sustainable fuels playing a central role. The company aims to cut its emissions by half by 2030 and 100 percent by 2050.
Shell follows – quits Gazprom
The energy company Shell also announced on Monday evening that it would abandon its joint ventures with the Russian group Gazprom and associated companies. This also includes the participation in Nord Stream 2. (HS/hcn)
Did you miss that? Decarbonization of the oil industry, is that even possible?
