TNK-BP Expects Substantial Production Growth from New Fields

TNK-BP is expecting a significant medium-term increase of its production owing to development of the Uvat and Russkoe fields, Mikhail Fridman, Head of Alpha Group and Interim Chief Executive Officer of TNK-BP, said during a meeting with Dmitry Medvedev, President of the Russian Federation, according to the report of the new agency ITAR-TASS.

"In the coming years, our production is expected to grow substantially, by dozens of percent, owing to development of two large fields -- the Uvat and Russkoe fields and modernization of the Saratov Oil Refinery," he said.

Mr. Fridman noted that the production of TNK-BP in 2009 will exceed the plan by 4%. "The results are very decent. According to our forecasts, the production will grow by 4% this year, which is much more than the average in the country," he stressed.

According to Mr. Fridman, approximately 50,000 people work in the company now, no jobs have been cut, and the number of jobs will increase with development of these new fields.

"What about the possibility of making investments?" asked President Medvedev. In Mr. Fridman's opinion, "the current taxation system allows making efficient investments, but less than in previous years," and "this depends on financial management."