OIL & GAS MANAGEMENT ESSAY
MODULE NAME: Oil & Gas Management
MODULE CODE: POD212
STUDENT ID : 31575
FULL NAME : Olivia Akinwunmi Streets
INTRODUCTION:
TNK-BP
British Petroleum
BP, originally called the Anglo-Persian Oil Company is a multinational firm who focuses on oil and gas production. BP is known as the world’s third largest petroleum company, with current operations in several countries including, the United States, Australia, Angola, Azerbaijan, Canada, Egypt, Russia, Trinidad & Tobago and Indonesia. In addition, the company also has substantial assets globally, from a diverse range of pipeline, refinement, chemical infrastructure to retail petrol stations. TNK
TNK is one of the top 3 oil companies in Russia, with around 1400 petrol stations in Russia and Ukraine, employing around 50,000 people (TNK). TNK is dominated by a group called Alfa Access/ Renova (AAR), which is made up of three private investment companies, Russia-based Alfa Group, Renova Group and New York-based Access Industries. After finding out that Sidanco was facing huge debts and financial crises, AAR became interested in its rival. Merger of TNK-BP November 1999, Chernogorneft declared bankruptcy and was sold to TNK for $176 million. TNK then offered BP the chance to become a strategic alliance partner with a 50% stake, guaranteeing access to the Russian resources. In 2003, TNK and BP entered into a joint venture agreement which made it become one of the top ten privately-owned oil companies in the world in crude oil production (TNK-BP 2012). With Robert Dudley as the CEO and with its headquartered located in Moscow, the company now employed around 65,000 people including 85 foreign managers globally. TNK-BP has become a vertically integrated oil company with various upstream and downstream portfolios in Russia and Ukraine (TNK-BP 2012). TNK-BP managed to produce 732 thousand barrels of oil per day and with its TNK-BP retail network it...