Sibir Energy PLC (SBE.LN), the troubled London-listed oil producer, said Monday it has reappointed Stuard Detmer as chief executive at the request of OAO Gazprom Neft (SIBN.RS), reversing a board decision taken last week.

Gazprom Neft, the oil arm of gas giant OAO Gazprom (GAZP.RS), moved Friday to take operational control of Sibir by appointing a company insider, Igor Tsibelman, as new CEO.

Gazprom Neft has been buying up minority shares in Sibir Energy since April and is now the company's biggest shareholder with a 34% stake.

But Gazprom Neft reversed the move on Monday and is currently in talks with the remaining shareholders to manage Sibir Energy, the company's Chief Executive Alexander Dyukov said Monday, the Prime-Tass news agency reported.

Gazprom Neft's Tsibelman will assume the role as first deputy CEO "to ensure the seamless transition of the management of the company," Sibir said.

Dyukov also said Gazprom Neft has no plans to increase its stake in Sibir Energy, after buying practically all minority shares.

"At the request of Gazprom Neft, the board of the company has reappointed Stuard Detmer to the role of chief executive officer of the company pending discussions between the major shareholders of the company," Sibir said in a statement.

Gazprom Neft's Dyukov said Sibir is likely to get a new CEO - possibly Tsibelman - in two to three weeks. He explained the reappointment of Detmer by saying Sibir's board "was in a hurry to lay down responsibility."

A person close to Sibir Energy called the decision to reappoint Detmer "a matter of politics" and said Gazprom Neft still needs to consult the other major shareholders on the future development of the company.

"This isn't expected to be a long-term solution," the person told Dow Jones Newswires.

Sibir Energy, last summer the biggest company on London's AIM exchange, has been dogged by corporate governance issues since it agreed to buy distressed real estate assets from its core owner Chalva Tchigirinski in October last year.

Tchigirinsky and his business partner Igor Kesaev each hold 23.5% stakes in Sibir, while the Moscow city government owns 18% of the company.

Trading in Sibir's shares have been suspended since February, pending investigations into erroneous statements to shareholders about its dealings with Tchigirinski.

Monday's reshuffle could signal the revival of a long-running opposition of the Moscow city government to Gazprom Neft's efforts to control the Moscow refinery, which is jointly operated by Sibir Energy and Gazprom Neft.

The Moscow refinery, which refines over 200,000 barrels of oil a day and is one of the most modern in the country, is considered a strategic asset, as it supplies Moscow's lucrative gasoline market. Sibir also owns a network of retail gasoline stations in the Moscow area.

Yuri Luzhkov, Moscow's mayor since 1992, has earlier criticized in public Roman Abramovich, former owner of Sibneft - now Gazprom Neft - of trying to take over the city's fuel market.

Gazprom Neft is due to hold talks with mayor Luzhkov this week, the person close to Sibir said.

No one at the Moscow city government was immediately available for comment, while Sibir Energy declined to comment.

Analysts have said the Moscow government may not agree to Gazprom Neft buying a stake in Sibir and increasing its influence over the Moscow refinery.

Some analysts say they believe Gazprom Neft's ultimate goal is to get full control and eventually consolidate Sibir Energy, but say much depends on what will happen to the remaining shares.

Tchigirinski's shares are currently held as loan collateral by state lender OAO Sberbank (SBER.RS), while Moscow City has said it won't sell its shares.

Gazprom Neft CEO Dyukov said Monday the company has no immediate plans to raise its stake in Sibir, Prime-Tass reported.

Sibir Energy operates the Salym oil fields in Western Siberia on a 50:50 basis with Royal Dutch Shell PLC (RDSA).

Company Web site: www.sibirenergy.com

-By Jacob Gronholt-Pedersen, Dow Jones Newswires; +7 495 937 8445; jacob.pedersen@dowjones.com
Sibir Energy (LSE:SBE)
Historical Stock Chart
Von Mai 2024 bis Jun 2024 Click Here for more Sibir Energy Charts.
Sibir Energy (LSE:SBE)
Historical Stock Chart
Von Jun 2023 bis Jun 2024 Click Here for more Sibir Energy Charts.