OREANDA-NEWS. May 13, 2010. Udmurt government spokespersons announced that Bashneft was moving to acquire the Aspek company. The value of the transaction has not been disclosed. Aspek’s prime assets include 44 gas-filling stations and two petroleum storage depots in Udmurtia. The company sells 100,000 tons of oil products at its gas-filling stations per annum, holding around 30% of the Udmurt regional retail market for oil products.

As our estimates show, should the deal go ahead, Bashneft will see its total network of gas-filling stations expand 14% to 363. Given that oil refining operations by Bashneft exceed its retail sales by manifold, the planned acquisition fully fits into the oil major’s long-term strategy to actively expand its network of gas-filling stations. Udmurtia borders on Bashkortostan, implying that Bashneft should benefit from the acquisition in terms of logistics network optimization and transportation costs minimization.

According to our estimates, the news could have positive effects on the stock valuations of Bashneft and its-controlling refining and retail companies, namely: Novoil, Ufaneftekhim, the Ufa oil refinery and Bashkirnefteprodukt.