Rosneft, a Russian integrated oil company, has postponed for an indefinite period implementation of the project for building an oil refinery in Chechnya, Russia’s North Caucasian Republic.
This is what the Minister of North Caucasian Affairs, Lev Kuznetsov, told reporters yesterday. According to the available data, experts, having examined all factual background, came to the conclusion that this will not be a profitable venture for Rosneft and it will require the company’s investments in amount of 78.3 billion rubles.
We should remind you that as early as in 2013, Russian President Vladimir Putin gave an assignment to consider the construction of an oil refinery in the Chechen Republic, but with the condition that the enterprise should be profitable.
Information about an increase in Rosneft investment in Chechnya came after in April 2013, the President of Chechen Republic, Ramzan Kadyrov, claimed that Rosneft didn’t not fulfill its obligations in Chechnya. According to him, Grozneftegaz, controlled by the company, produced about 1 million tons of oil per year, however, didn’t create additional jobs, and, on the contrary, significantly reduced their number.