Concerned over the fallout of the BP (NYSE:BP) disaster on the Russian economy, Russian President Dmitry Medvedev seeks to get guarantees from Prime Minister David Cameron concerning the matter.
Russia accounts for 25 percent of the global oil produced by BP, and worries over the company's ability to continue working in Russia in face of the billions in liabilities they face has them pushing for some assurances from the British leader.
Primarily Russia wants to know if BP has plans on cutting back on its oil production, as uncertainty over its ability to fund operations is in the back of their minds.
Some of the asset sales of BP will be Russia-based properties, which they have hopes of raising $10 billion in order to restructure the company so they can successfully pay for the cleanup operations in the Gulf and survive as a company.
One Russian asset BP is sure to keep for the long term will be its joint venture with the privately held TNK consortium, which accounts for 10 percent of BP's profits.
With anger over the oil spill probably lasting for years in the U.S., BP is positioning itself to diversify away from the U.S. market as one of its long-term strategies.
The Russian Ambassador to the UK, said, We want to see how it will work and how this situation will affect the overall strategy of BP and how it may affect these joint ventures in Russia. We want to have some guarantees it will continue to work."
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