OREANDA-NEWS. On October 24, 2008 TNK-ВР has announced that in October, 2008, the company has been reducing the selling price for jet fuel for all kinds of deals on a daily basis thanks to an application of a pricing formula. The reduction has amounted to 4.5% as compared to the beginning of the month, reported the press-centre of TNK-BP.

The company is considering possibilities for further price reviews in future. In particular, starting with November, 2008, spot prices for jet fuel will be additionally lowered by up to 12%.
Notes for editors:
In an innovative move on the domestic market, TNK-BP and TD TOAP introduced long-term contracts for jet fuel sales. The long-term contracts are based on a pricing formula taking into account international price indicators which ensures transparency and allows to hedge price risks (by engaging international finance institutions to provide insurance from drastic price fluctuations).

Thanks to the established mode of operation and cooperation provided by TNK-BP, Trading House “Airport Fuel Supply” was able to sign a long-term agreement with Transaero airlines which should help make fuel prices more stable and predictable and consequently have a beneficial effect on the price of air tickets. The company is planning to expand its cooperation with Trading House “Airport Fuel Supply” as well as other fuel consumers.