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MOSCOW, November 18 (Itar-Tass) — Head of Transneft Nikolai Tokarev considers it inexpedient to privatise Zarubezhneft, the more so through its merger with Transneft. He expressed this opinion to journalists on Friday.
Transneft (RTS:TRNF, MICEX: TRNFP) is a Russian state-owned business responsible for the national oil pipelines. It was founded in 1993 and owns the largest oil pipeline system in the world, with a total network length of almost 50,000 kilometres (31,000 mi). Transneft transports about 93 percent of the oil produced in Russia. The company is headquartered in Moscow. Transneft was established in accordance with Presidential Decree No. 1403 dated 17 November 1992 and Russian Government Resolution No. 810 dated 14 August 1993, and is the legal successor to the USSR Ministry of Oil Industry Main Production Department for Oil Transportation and Supplies (Glavtransneft), with 100 percent of shares belonging to the state. On 16 April 2007, pursuant to a presidential decree signed by President Putin,Transnefteproduct – an organisation concerned with the transportation of refined oil products, was merged into Transneft.
JSC Zarubezhneft is a Russian state-controlled oil company based in Moscow that specializes in exploration, development and operation of oil and gas fields outside Russian territory. Nikolai Brunich is the company’s General Director, and Russian minister of Energy Sergei Shmatko is chairman of the board.