Rosneft revalues another's gas – the company wants to decrease value of Alrosa’s assets

Rosneft, in spite of its voiced expansion plans on the gas market, begins to value assets, which it buys, contentiously. As Kommersant has got to know, the company has questions about the fields that it was going to buy from Alrosa for $1.38 billion. The assets could give Rosneft up to 3 billion cubic meters of gas per year, but by results of their study the company demand a reduction to the price. Alrosa, which needs money for debts redemption, isn’t ready to grant a discount and the deal can fail.

Rosneft can review the parameters of the deal on the purchase of Alrosa’s oil and gas assets (Geotransgaz, Urengoy gas company, Irelyakhneft and Alrosa-Gaz), market sources told  Kommersant and an interlocutor, who is close to one of the parties, confirmed. “There is different understanding of reserves, Rosneft thinks that $1.38 billion is an overrated price, one of wells was empty,” – one of them says. The negotiations are in the process, but it isn’t ruled out that Rosneft will refuse the deal. Alrosa stated to the Kommersant that it doesn’t have any information about changes in the deal’s terms. Rosneft declined to comment.