Factbox: Russia and West wrestle over energy assets amid Ukraine … – Reuters
April 28 (Reuters) - Russia this week took control of the Russian assets of Finland's Fortum (FORTUM.HE) and Germany's Uniper (UN01.DE), which both operate power plants in Russia, and warned it could seize more.
The two energy firms' shares were placed in the temporary control of Rosimushchestvo, the federal government property agency, and will be run by managers from Rosneft (ROSN.MM).
Kremlin said the decision was taken in response to "aggressive actions of unfriendly countries" and mirrored attitude of Western governments towards foreign assets of Russian companies.
Many foreign companies sought to exit from Russia amid sweeping Western sanctions following Moscow's invasion of Ukraine in Feb. 2022, but were unable to divest their assets due to legal or financial restrictions.
Here's a list of some of the energy companies that were taken over by Western or Russian governments, or that have struggled to sell their businesses:
Last November, Germany nationalised Gazprom Germania, a subsidiary of Russia's gas giant Gazprom (GAZP.MM), after Gazprom quit it without explanation.
The company was renamed Sefe (Securing Energy for Europe), and the German government injected 6.3 billion euros ($6.92 billion) to recapitalise it with European Commission approval.
Gazprom Germania had total assets of 8.4 billion euros and equity of 2.2 billion euros in 2020, according to regulatory filings.
Germany, via its energy regulator, last autumn put two German divisions of Russia's Rosneft (ROSN.MM) - Rosneft Deutschland GmbH and RN Refining & Marketing GmbH under so-called trusteeship.
As part of the arrangement, Germany has taken control of Rosneft's stakes in three refineries: a 54.17% stake in PCK Schwedt, a 24% stake in MiRO and a 28.57% stake in Bayernoil.
Legally, Rosneft remains the owner but has no way to exercise control over these assets as long as the trusteeship remains in place.
Germany's lower house of parliament on April 20 approved changes to the Energy Security Act that would allow a quick sale of Rosneft's stake in the Schwedt refinery without the need for prior nationalisation.
Rosneft took legal action against trusteeship and is seeking compensation for the financial losses it suffered during the first six months of the order.
The company says it is the third-largest refiner in Germany with a total capacity to refine up to 12.8 million tonnes per year accounting for more than a tenth of the country's capacity.
The Finnish utility has said it would "pursue a controlled exit" from Russia after Moscow's invasion of Ukraine, but it also flagged expropriation risk in its annual report for 2022.
Fortum's Russia division has seven thermal power plants in the Ural region and Western Siberia, and a portfolio of wind and solar plants in Russia together with local venture partners.
The company, majority owned by the Finnish government, recorded total impairment charges of 1.7 billion euros related to its Russian operations for 2022.
Fortum bought Russia's TGK-10, a heat and power producer in St. Petersburg area, in 2008 for about 2 billion euros.
In 2018, Russian Minister of Energy Alexander Novak said Fortum had invested about 4.5 billion euros in Russia.
Russia placed energy producer Unipro, 83.73% owned by German Uniper (UN01.DE) under state administration, the German utility said on April 26.
Uniper has deconsolidated Unipro as of end-2022 and classified it as discontinued business, citing the loss of control despite its majority stake.
The company wrote down $4.4 billion as a result of deconsolidation and put Unipro's value at a symbolic 1 euro, reflecting the likely chance that it could sell the business.
Uniper acquired Russian power company OGK-4, later renamed Unipro, for 4.2 billion euros in 2007, and invested more about 2.5 billion euros to build new generating capacity.
In 2021, Unipro generated 230 million euros in adjusted operating profit.
Uniper has also taken an impairment of $1 billion euros for its financial exposure to the Nord Stream 2 gas pipeline.
Germany oil and gas firm Wintershall Dea, majority owned by German chemicals maker BASF (BASFn.DE), said Russia's takeover of Fortum and Uniper's assets has not affected it, but added that Moscow's policies were "unpredictable".
Wintershall Dea has previously deconsolidated its Russian operations, which prior to Moscow's invasion of Ukraine accounted for over half of its petroleum output worldwide.
Its assets in Russia include a 35% stake in the Yuzhno-Russkoye gas field, and it co-owns two Achimov natural gas production projects in Siberia.
Wintershall Dea has also written down its 15% stake in the Nord Stream 1 gas pipeline that had been damaged by mysterious explosions last September.
BASF (BASFn.DE) took a 7.3 billion euro writedown for 2022 due to Wintershall Dea's (WINT.UL) decision to pull out of Russia.
Austrian energy group OMV (OMVV.VI) said in February it saw no way to sell its stake in the Russian Yuzhno-Russkoye gas field due to legal restrictions in Russia.
OMV paid 1.75 billion euros for a stake in the Yuzhno- Russkoye field, one of Russia's largest, in 2017, at the time saying it could add 100,000 barrels of oil equivalent (boe) per day to its production.
The company was also one of the five financial backers of Nord Stream 2. It fully impaired the outstanding investment of 1 billion euros.
($1 = 0.9102 euros)
Reporting by Nerijus Adomaitis and Louise Heavens
Our Standards: The Thomson Reuters Trust Principles.
Go here to read the rest:
Factbox: Russia and West wrestle over energy assets amid Ukraine ... - Reuters
- Russia issues school textbook saying it was 'forced' to march into Ukraine - Reuters - January 27th, 2025 [January 27th, 2025]
- Russia introduces history textbook that redefines war against Ukraine as justified defense. - Kyiv Independent - January 27th, 2025 [January 27th, 2025]
- Bad Things Happened: Trump Still Doesnt Understand the Ukraine War - The Bulwark - January 27th, 2025 [January 27th, 2025]
- Russia says its troops have captured a strategic town in eastern Ukraine - The Associated Press - January 27th, 2025 [January 27th, 2025]
- NATO chief: Cost of Russian victory in Ukraine would be trillions not billions - Atlantic Council - January 27th, 2025 [January 27th, 2025]
- For Russian Forces In Ukraine, Its Now Normal To Ride Into Battle In A Compact Car - Forbes - January 27th, 2025 [January 27th, 2025]
- Opinion: Trump promised to end the Ukraine war, but neither side is ready - Los Angeles Times - January 27th, 2025 [January 27th, 2025]
- Putin echoes Trump's claim that conflict in Ukraine could have been avoided had he been in office - The Associated Press - January 27th, 2025 [January 27th, 2025]
- Russia says it sees no signs that Ukraine and the West are ready for peace talks despite all statements - Reuters - January 27th, 2025 [January 27th, 2025]
- Zelenskiy says Trump could end Ukraine war only if Kyiv included in talks - Reuters - January 27th, 2025 [January 27th, 2025]
- War in Ukraine: EU to Agree to Extend Russia Sanctions, Hungary to Back Down - Bloomberg - January 27th, 2025 [January 27th, 2025]
- Letters: Stop the fireworks; angry about McCoy story; end war in Ukraine - VC Star - January 27th, 2025 [January 27th, 2025]
- Zelenskiy Says Ukraine Ready to Transit Gas From Azerbaijan - Bloomberg - January 27th, 2025 [January 27th, 2025]
- Why peace talks between Ukraine and Russia are not as simple as Trump makes out - The Independent - January 27th, 2025 [January 27th, 2025]
- Trump tells Putin to end 'ridiculous war' in Ukraine or face new sanctions - BBC.com - January 26th, 2025 [January 26th, 2025]
- Ukraine-Russia latest: Putin ready for Trump negotiations as Kyiv sets oil refinery ablaze with drone strike - The Independent - January 26th, 2025 [January 26th, 2025]
- Ukraine is reforming its recruitment efforts to attract younger soldiers and boost forces - The Associated Press - January 26th, 2025 [January 26th, 2025]
- Europe considers sending troops to Ukraine if theres a ceasefire. But would Russia accept? - The Associated Press - January 26th, 2025 [January 26th, 2025]
- Opinion: I spent Trumps inauguration in Ukraine. This is what I saw. - Salt Lake Tribune - January 26th, 2025 [January 26th, 2025]
- Putin claims Ukraine crisis may have been averted if Trump was president - CNN - January 26th, 2025 [January 26th, 2025]
- Did Ukraine Kill Its Own by Downing a Russian Plane? A Year Later, It Hasnt Said. - The New York Times - January 26th, 2025 [January 26th, 2025]
- Russia claims its troops are in the last stages of taking another eastern Ukraine town - The Associated Press - January 26th, 2025 [January 26th, 2025]
- Ukraine Is Losing Fewer Soldiers Than Russia but Its Still Losing the War - The New York Times - January 26th, 2025 [January 26th, 2025]
- Does Putin know why Ukraine fights on? Because we prize freedom above stability and wealth | Andrey Kurkov - The Guardian - January 26th, 2025 [January 26th, 2025]
- Russia rejects idea of NATO peacekeepers in Ukraine, warning of "uncontrollable escalation" - Reuters - January 26th, 2025 [January 26th, 2025]
- Trump's threat against Moscow on Ukraine seen as an insulting false start by some in Russia - NBC News - January 26th, 2025 [January 26th, 2025]
- UKs 100-year partnership with Ukraine is a meaningless political stunt - Al Jazeera English - January 26th, 2025 [January 26th, 2025]
- Putin says he and Trump should meet to discuss Ukraine and energy prices - Reuters - January 26th, 2025 [January 26th, 2025]
- Putin ready for negotiations with Trump on Ukraine war - The Guardian - January 26th, 2025 [January 26th, 2025]
- US arms exports hit record in 2024 on Ukraine-related demand - Reuters - January 26th, 2025 [January 26th, 2025]
- This Ones Mine. Ukraine Says Russia Is Executing More POWs and Capturing It on Video. - The Wall Street Journal - January 26th, 2025 [January 26th, 2025]
- Russia Brushes Off Trumps Threats on Ukraine - The Wall Street Journal - January 26th, 2025 [January 26th, 2025]
- Russia: Nothing new in Trump threats on Moscows war on Ukraine - VOA Asia - January 26th, 2025 [January 26th, 2025]
- Video: The Kremlin responds to Trump calling on Putin to make a deal with Ukraine - CNN - January 26th, 2025 [January 26th, 2025]
- To end the Russia-Ukraine war, Trump will need to get leverage - The Hill - January 26th, 2025 [January 26th, 2025]
- Ukraine's Kursk invasion was a risky play, but it might have nailed the timing - Business Insider - January 26th, 2025 [January 26th, 2025]
- Trump leans in on targeting Russian oil revenue as he tries to fulfill pledge to end Ukraine war - The Associated Press - January 26th, 2025 [January 26th, 2025]
- 'He shouldn't have done that': Donald Trump criticizes Ukraine president over war - USA TODAY - January 26th, 2025 [January 26th, 2025]
- Putin open for talks with Trump over Ukraine war and calls for leaders to meet - The Independent - January 26th, 2025 [January 26th, 2025]
- Business elites truly believe Trump could be on the verge of solving one of the world's most difficult problems: The Ukraine War - New York Post - January 26th, 2025 [January 26th, 2025]
- Kyiv investigates another case of Russian soldiers executing Ukraine POWs - POLITICO Europe - January 26th, 2025 [January 26th, 2025]
- Ukrainian winemaker and US veterans team up to show the best of Ukraine, a glass at a time - The Associated Press - January 26th, 2025 [January 26th, 2025]
- Is Trump changing tack on ending the war in Ukraine? - The Conversation Indonesia - January 26th, 2025 [January 26th, 2025]
- Shared Challenges: Israel Considers Sending Russian Weapons Seized From Hezbollah to Ukraine - Foundation for Defense of Democracies - January 26th, 2025 [January 26th, 2025]
- Ukrainian troops say inexperienced North Koreans are making easy targets - The Washington Post - December 16th, 2024 [December 16th, 2024]
- Ukraine says it has laser weapon able to down targets flying at over 2km - Yahoo! Voices - December 16th, 2024 [December 16th, 2024]
- Berlin eyes role in Ukraine peace deal but says too early for decisions - Reuters - December 16th, 2024 [December 16th, 2024]
- Keep Ukraine Out of Talks to End Its War - Foreign Policy - December 16th, 2024 [December 16th, 2024]
- Ukraine and US say some North Korean troops have been killed fighting alongside Russian forces - The Associated Press - December 16th, 2024 [December 16th, 2024]
- Russia aims to win the war in Ukraine in 2025, top official says - Semafor - December 16th, 2024 [December 16th, 2024]
- Trump suggests reversing permission for Ukraine to use US missiles in Russia - The Telegraph - December 16th, 2024 [December 16th, 2024]
- Trump to Europe: Overseeing a Ukraine Cease-Fire Would Be Your Job - The Wall Street Journal - December 16th, 2024 [December 16th, 2024]
- The Price of Russian Victory: Why Letting Putin Win Would Cost America More Than Supporting Ukraine - Foreign Affairs Magazine - December 16th, 2024 [December 16th, 2024]
- They said we were American spies: Priests describe Russias crackdown on Evangelicals in occupied Ukraine - CNN - December 16th, 2024 [December 16th, 2024]
- Trump says it was 'stupid' for Biden to let Ukraine use US weapons to strike deeper into Russia - The Associated Press - December 16th, 2024 [December 16th, 2024]
- Cajole, Plead and Flatter: Ukraine Makes Its Case to Trump - The New York Times - December 16th, 2024 [December 16th, 2024]
- Ukraine-Russia war map: Where Putins forces are making gains in eastern Ukraine - The Independent - December 16th, 2024 [December 16th, 2024]
- Europe Needs to Swiftly Fulfil Its Aid Pledges to Ukraine - Bloomberg - December 16th, 2024 [December 16th, 2024]
- Ukraine says it has laser weapon able to down targets flying at over 2km - Reuters - December 16th, 2024 [December 16th, 2024]
- Trump says deal needed to stop Ukraine war, will talk to Putin and Zelenskiy - Reuters - December 16th, 2024 [December 16th, 2024]
- Were 750,000 additional lives wasted in Ukraine for less than nothing? - The Hill - December 16th, 2024 [December 16th, 2024]
- Ukraine war: US gives $20bn to Kyiv funded by seized Russian assets - BBC.com - December 10th, 2024 [December 10th, 2024]
- Trump calls for immediate ceasefire in Ukraine and says a US withdrawal from NATO is possible - The Associated Press - December 10th, 2024 [December 10th, 2024]
- How Trump Can Win the Peace in Ukraine - The Atlantic - December 10th, 2024 [December 10th, 2024]
- Ukraine-Russia latest: Zelensky wont sacrifice young troops to Putins forces for more weapons from West - The Independent - December 10th, 2024 [December 10th, 2024]
- Biden is rushing aid to Ukraine. Both sides are digging in. And everyone is bracing for Trump - The Associated Press - December 10th, 2024 [December 10th, 2024]
- Russian prison boss killed in car blast in occupied Ukraine - BBC.com - December 10th, 2024 [December 10th, 2024]
- Kremlin says Ukraine war will go on until Putin's goals are met on battlefield or by negotiation - Reuters - December 10th, 2024 [December 10th, 2024]
- Russia targets Ukraine's energy grid as winter sets in. Here's how one plant copes - NPR - December 10th, 2024 [December 10th, 2024]
- Deadly Russian strike kills at least three in Ukraine's Zaporizhzhia - Euronews - December 10th, 2024 [December 10th, 2024]
- How Trump Could End the War in Ukraine - The Atlantic - December 10th, 2024 [December 10th, 2024]
- War in Ukraine: The woman turning amputees into 'superhumans' - BBC.com - December 10th, 2024 [December 10th, 2024]
- Zelensky salutes Trump's 'strong resolve' to end war in Ukraine - FRANCE 24 English - December 10th, 2024 [December 10th, 2024]
- US announces nearly $1 billion more in longer-term weapons support for Ukraine - The Associated Press - December 10th, 2024 [December 10th, 2024]
- Amid U.S. pressure, Ukraine starts thinking about drafting 18-year-olds - The Washington Post - December 10th, 2024 [December 10th, 2024]
- Zelenskyy open to Western troops providing security for end to war in Ukraine - The Associated Press - December 10th, 2024 [December 10th, 2024]
- Ukraine to raise NATO invite, security guarantees at meeting with European allies - Reuters - December 10th, 2024 [December 10th, 2024]
- Kyiv reveals total Ukraine casualties in Putins war for first time - POLITICO Europe - December 10th, 2024 [December 10th, 2024]
- Bill Browder on saving Ukraine, NATO, and the threat of Vladimir Putin - the1a.org - December 10th, 2024 [December 10th, 2024]
- Biden is rushing aid to Ukraine as everyone braces for Trump - FOX 5 DC - December 10th, 2024 [December 10th, 2024]