6 Oct 2010 12:03

Lukoil dividends will grow

MOSCOW. Oct 6 (Interfax) - Vice President at Russian oil giant LUKOIL Leonid Fedun said he is confident that the company's dividends will grow.

"Dividends will grow if the market doesn't collapse," Fedun told the press.

"We don't expect there to be any collapse because the dollar and other currencies are devaluing, I think dividends will grow," he said.

Lukoil's dividends grew 4% last year compared with 2008 to 52 rubles a share. The company is paying shareholders 44.229 billion rubles, or 20.86% of its net profit to US GAAP.

Fedun said he planned to increase his stake in the oil producer to approximately 10%.

"I'm buying shares, little by little. I think this is the best investment," he said, in view of the inflationary and devaluation risks that make shares in a company like Lukoil attractive.