Lukoil Enters into An Agreement to Sell the Grib Diamond Mine for US$ 1.45 Bn

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Lukoil

Last week, Lukoil made a brief announcement to the effect that it had concluded an agreement to sell its 100% stake in JSC Arkhangelskgeoldobycha to Otkritie Holding Group for US$ 1.45 billion in cash. The Company said that the transaction is expected to close in the first quarter 2017 subject to the necessary approvals by the relevant authorities.

Arkhangelskgeoldobycha is the developer of the Grib diamond mine located in the Arkhangelsk region of Russia.

“Lukoil successfully developed a major diamond project from its very early stage and brought the Grib diamond mine to almost full capacity on time and within budget,” said Alexander Matytsyn, Senior Vice President for Finance of Lukoil. “Spinning-off of this non-core asset allows us to effectively monetize the significant shareholder value that we have created over the past five years.”

Dmitry Romaev, member of Otkritie Holding’s Board of Directors commented: “The acquisition of a 100% stake in Arkhangelskgeoldobycha is a strategic investment in an attractive asset with potential for further development. This acquisition diversifies Otkritie’s range of business interests as the largest privately-owned financial company in Russia.”

News Source : gjepc.org

Disclaimer: This information has been collected through secondary research and TJM Media Pvt Ltd. is not responsible for any errors in the same.

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