The Tyumen Oil Company plans to increase the Ukrainian market share of the Lysychanskorgsyntez (LyNOS) to 25 percent, Tyumen Oil vice-president, Herman Khan, announced.
Along with this, Khan noted that Tyumen plans to export part of the petroleum products produced by LyNOS, primarily fuel oil.
According to Khan, Tyumen Oil will actively develop a network of gasoline filling stations and petroleum tank parks to sell LyNOS’s petroleum products.
In particular, to achieve this Tyumen will reorganize its Prodintor Company into “Torhovy Dim TNK-Ukraina.”
According to him, the volume of petroleum product sales in Ukraine compared to exports will depend on the relationship between petroleum product prices in Ukraine and on the European market.
According to Khan, this project could be implemented no sooner than several years from now, due to the poor technical condition of the petroleum pipeline leading to Russia, reviving of which will take several years, according to him.
On July 18, Tyumen Oil Company signed a purchase agreement for 67.41% of LyNOS with the State Property Fund.
Tyumen Oil plans to supply LyNOS with no less than 3.5-4.0 million tons of petroleum per year.
The Tyumen Oil Company is Russia’s fifth largest petroleum extracting company – 22.6 million tons in 1999.
LyNOS can refine up to 16 million tons of petroleum per year.
According to experts, Ukraine consumes between 20-30 million tons of petroleum products per year.
