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Rosneft CEO, Head of Russian Bashkortostan discuss tax policy of Bashneft

On October 12, Rosneft closed the deal of buying 50.08% of shares in Bashneft and transferred $5.3 bln to the state budget

UFA, October 19. /TASS/. CEO of Russia’s state-owned company Igor Sechin and President of Russia’s Bashkortostan republic Rustem Khamitov met in Ufa on Wednesday and discussed the future tax and dividend policy of Bashneft oil company after its privatization, the press service of the head of the republic reported.

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Bashneft already works as Rosneft’s subsidiary — CEO

"The key topic of the meeting between Khamitov and Sechin was the development strategy of Bashneft, its dividend and tax policies. the parties also discussed the prospects of interaction between the region and Rosneft, in particular in construction and upgrade of facilities of petrochemical industry, environment protection and social programs," according to the press release.

On October 12, Rosneft closed the deal of buying 50.08% of shares in Bashneft and transferred 329.7 bln rubles ($5.3 bln) to the state budget.

Bashkortostan’s administration holds 25% plus one share in Bashneft. After the privatization, Rosneft’s Vice President on energy and innovations Andrei Shishkin was appointed as the new head of Bashneft. The line-up of the management board of Bashneft also was renewed. Now it has seven top managers from Rosneft.

Earlier, Khamitov told TASS that the republic annually received up to 35 bln rubles ($565 mln) from Bashneft which is one fourth of the republic’s budget. In particular, the amount of charity aid to the municipalities of the republic is about 4 bln rubles, tax revenues exceed 20 bln rubles ($321 mln), while dividends totaled 7.2 bln rubles ($115 mln) in 2015. The company also sponsors local sport teams.

Bashneft operates in more than 20 regions of Russia and abroad.

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