3 Dec 2013 09:57

Rosneft wants to buy state stake in NCSP at market price - Sechin

YEREVAN. Dec 3 (Interfax) - Rosneft would like to acquire the state stake in Novorossiysk Commercial Sea Port (NCSP) , Russia's biggest port operator, at the market price, the state oil major's president, Igor Sechin said, adding that offering a premium to the market could hurt the sector.

"On market conditions, at a market-based valuation. There could be various forms [of sale], but a market-based valuation. Do you understand the term market valuation? A market valuation is a market valuation, whatever the form of the sale is," Sechin told reporters on Monday.

Asked whether Rosneft is prepared to bid in a competitive sale of the state stake considering that some companies might offer a price with a premium, Sechin said: "If the premium later hurts the economy, this also needs to be considered. The whole sector suffers - presuming that there is no competition. Antimonopoly agencies must respond."

He said the purchase would give Rosneft an additional opportunity to create an infrastructure base to serve offshore projects in the Black Sea and increase control over operations.

As an example, Sechin cited operations in Trieste, Italy, where Rosneft has experience managing a marine terminal. The terminal in Trieste has a tariff of 2.50 euros on the marine section and taking into account transport 800 km into Europe 4.50 euros. "While the terminal at the Novorossiysk port operates based on a tariff of $16.50 per tonne of product handled [