Lukoil-Nizhnevolzhsknefteprodukt, a wholly owned subsidiary of Lukoil, has acquired Rostovneft distribution network for RUB1.4 billion.
The newly acquired assets include 55 filling stations and bulk plant facilities. Volgograd refinery will supply petroleum products to be marketed through these filling stations.
The company’s own distribution network in Rostov region of south Russia comprises 41 filling stations marketing 100,000 tons of petroleum products per annum, which accounts for 6% of the local market capacities.
The company believes that the acquisition will enable the company to double retail petroleum products marketing output and increase the company’s share in Rostov region retail market to as high as 12%.