By JACOB GRONHOLT-PEDERSEN
Russian oil major TNK-BP, half-owned by BP, said Friday that
operations at the Lisichansk refinery in Ukraine have become
unprofitable and it plans to further review its options for
TNK-BP "observed a serious deterioration of the domestic refining market in Ukraine in the
fourth quarter of 2011," a spokesman said.
"The negative trends affecting refining economics in Ukraine have
continued into the first quarter of 2012 and have a material
effect on the financial results of TNK-BP's subsidiaries in the
country," he said.
As a result the management is preparing to review possible
actions to increase operational efficiency, he said.
The comments came after the Kommersant daily
earlier Friday cited unnamed people close to the company as
saying TNK-BP is considering shutting down operations at the
Lisichansk refinery starting next month.
The refinery, which has a capacity of
over 7 million tpy of crude oil, supplies oil products to
Ukraine's Donetsk and Stavropol regions as well as to Russia's
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