Russia is working on a plan to merge state-backed Rosneft Oil, opens new tab with Gazprom Neft, opens new tab and Lukoil, opens new tab, creating the world’s second-biggest crude oil producer, the Wall Street Journal reported on Friday.
Talks between executives and government officials took place over the past few months, and a deal may or may not happen, the newspaper said, citing people familiar with the matter whom it did not identify., opens new tab with Gazprom Neft, opens new taband Lukoil, opens new tab creating the world’s second-biggest crude oil producer, the Wall Street Journal reported on Friday. Talks between executives and government officials took place over the past few months, and a deal may or may not happen, the newspaper said, citing people familiar with the matter whom it did not identify.
A combination of Rosneft, Gazprom, opens new tab subsidiary Gazprom Neft and Lukoil, would be second to Saudi Arabia’s Aramco, opens new tab and could pump almost three times U.S. oil producer Exxon’s, opens new taboutput, the report added.
There are some obstacles, including opposition from some Rosneft and Lukoil executives and the problem of collecting funds to pay Lukoil shareholders, the report said.
Lukoil, Rosneft, Gazprom and the Kremlin did not immediately respond to Reuters requests for comment, while Gazprom Neft could not immediately be reached.