Yukos Production Unit to Be Sold

Published: 21 July 2004 y., Wednesday
Russian Government officials opened the way for a fire sale of Yukos' main production unit Yuganskneftegaz as payment for the oil major's crippling tax debts Tuesday, a move that would effectively mean the end of Yukos as Russia's leading oil producer. In a statement that shocked a market that had still hoped Yukos would not be broken up, the Justice Ministry said it was earmarking the Siberian production unit, which produces 60 percent of Yukos' total oil output, for sale. "After valuation, the stake in Yuganskneftegaz will be handed over to a special organization for sale," the ministry said in a statement, as it announced that court marshals have frozen the shares of all Yukos production units -- Yuganskneftegaz, Samaraneftegaz and Tomskneft VNK. The shares were seized as the authorities attempt to squeeze $3.4 billion from Yukos in back taxes for 2000. The announcement came as former Yukos CEO Mikhail Khodorkovsky and his business partner Platon Lebedev returned to a Moscow courtroom for their trial on alleged massive tax evasion and fraud charges. Both face up to 10 years in jail if convicted.
Šaltinis: themoscowtimes.com
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