"A bad joke"

American Congressman Edward Markey requests the Treasury Department to probe the terms of the share-swap deal between BP and Rosneft.

According to Edward Markey, the transaction in which BP acquired 9,5% of Rosneft shares in exchange for 5% of its assets threatens the US national security. Apart from being the fourth largest oil and gas producer in the United States, BP is a major supplier of fuel for the US army.

BP has been involved in intensive cooperation with Russian oil and gas companies for years and until recently the United States expressed no security fears. Now, everything has changed, and the impression is that far from everyone in the United States has come to terms with new political realities. Konstantin Simonov is the General Director of the Russian Energy Security Foundation.

"These politicians continue to think in the stereotypes of the 1970s, when they were repeatedly warned of “Russians coming”. I burst out laughing when I heard the recent statements by a number of American high-ranking officials that the BP-Rosneft deal should not go ahead because Rosneft might find out how much diesel fuel BP supplies to American soldiers. It’s a joke, and a bad one at that. Russia and the US have been exchanging information on nuclear weapons, are cutting down their nuclear arsenals, American inspectors visit Russia’s nuclear facilities. There have been no fears over that. When China bought BP shares, no one expressed concerns that Beijing might find out about diesel fuel".

BP’s positions in the US faltered following the Gulf of Mexico spill in April last year. Pessimists predicted that eliminating the consequences of the disaster would cost 70 billion dollars and that BP would be acquired at a knockdown price by Exxon Mobil and Chevron. But BP is owned by American companies too, so it’s unlikely to lose its positions.

"Among BP’s shareholders are influential financial groups. Drowning the company is against their interests. Even though BP’s capitalization has dropped, the company lives on. And there has been no bankruptcy despite the difficulties in the US. The company has to pay huge fines and has sold off some assets but it is not out of business".

As it happens, support from Rosneft was more than timely. The two companies’ plans to begin oil production on the Arctic shelf in the next 5 to 10 years should strengthen BP’s positions. As for Rosneft, it will get access to BP’s oil production technology and experience. And experience is everything. No other oil company can boast such huge experience in handling a disastrous oil spill as BP.

By Anna Forostenko

The Voice of Russia, January 24, 2011