The Russian organization said that the sale of a controlling stake in
the Mazeikiu Nafta oil terminal to the U.S.-based Williams would make
efficient operation of the oil complex impossible.
They warned that Lithuania was facing a big economic crisis
accompanied by a continuous rise in prices, according to the daily.
"Where will Mazeikiai buy crude if they bypass LUKoil? I think that
Williams will have to buy oil at a higher price," the daily quoted
the union's general representative to Vilnius, Mikhail Mashkov.
The American company plans to take an initial stake of 33 percent in
Mazeikiai Oil and boost it to 51.5 percent in the future.
Participants at the union's congress held in July voiced the position
that Russian oil suppliers should stop cooperation with Williams
unless they received as many shares in Mazeikiai Oil as the
Americans, Mashkov said.
"It is possible that a corporate decision will be taken to completely
end any cooperation with Williams wherever it may be - in Lithuania,
Russia or anywhere else," he said.
Russian oil companies have warned that Williams would shatter the
fuel price structure and ruin one of the best East European oil
refineries by seeking unrealistic profits.
Members of the Russian oil and gas union include Gazprom, LUKoil,
Rosneft, Slavneft, Yukos, Sidanko, Transneft, Onako and others.
Mazeikiai Nafta was a member of the organization before 1995.
But the entire deal with Williams may be in for some trouble.
Lithuanian Prime Minister Rolandas Paksas and Economics Minister
Eugenijus Maldeikis met with President Valdas Adamkus Sept. 24
regarding Williams' latest proposals for participation in the
Lithuanian oil sector.
Willaims' position was presented as an ultimatum by some anonymous
sources in the Lithuanian press. When asked about this, Paksas said,
"I can neither deny nor confirm it."
Please enter your username and password.
2024 © The Baltic Times /Cookies Policy
