Rosneft expected to make offer for BP TNK-BP stake

<p>Rosneft is expected to make an offer for BP’s stake in TNK-BP.</p>

BP shares are higher on the London Stock Exchange this morning (October 18th), as the chance of BP being made an offer for its TNK-BP stake by Russian oil giant Rosneft grows more likely.

The BBC reports that BP is due to receive an offer worth $28 billion (£17 billion) for its stake in the joint venture.

Earlier in the week, the four Russian oligarchs who own the other half of TNK-BP through their firm AAR signed a document of understanding to sell off their stake to Rosneft at a later date.

The deal to buy BP's stake would make Rosneft the world's largest publically-traded oil company.

What remains to be seen is how much money would be offered in the deal and whether BP will end up with a ten or 20 per cent stake in Rosneft.

At 10:50 BST, BP's share price was higher by 0.8 per cent to 452.10p.

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