Executive Summary
Chapter 1. Introduction
Russian M&A activity and global background
Outlook and practical implications for investors
Chapter 2. The Russian Petroleum Industry as the Target of Mergers and Acquisitions
Trends
Chapter 3. Russian Companies: Drivers of Industry Consolidation
Overview of key deals
Gas industry transactions
Major privatization deals
Mergers and acquisitions in the downstream sector
Chapter 4. Mega-mergers: New Stage of Oil Industry Consolidation
Case Study: The BP-TNK transaction
Case Study: YUKOS-Sibneft
Outlook for new M&A
Chapter 5. Foreign Investors: Mixed Record
The pioneer deals
Foreign interest in Russia re-emerges
Chapter 6. Accessing Russia’s Reserves
M&A Mega-deals: unlikely, for the time being
Small and mid-size M&A: most viable option
Other options
Service sector opportunities
Chapter 7. Russian Asset Valuations
Valuing Russian upstream assets
Reserve classification systems
Factors affecting asset valuations
Valuation trends
Chapter 8. Foreign Acquisitions by Russian Companies
Background
Overview of major deals
Mazeikiu Nafta acquisition: case study
Outlook for future M&As
Appendix 1. Definitions for Oil and Gas Reserves in Accordance with SPE Rules
Definitions
Proved reserves
Unproved reserves
Appendix 2. Proved Reserves Definitions In Accordance With Securities and Exchange Commission (SEC) Regulation
Proved oil and gas reserves
Proved developed oil and gas reserves
Proved undeveloped oil and gas reserves
Appendix 3. Categories of Reserves as Defined by the Russian-Standard ABC1
Category A
Category B
Category C