Sistema says fight for Bashkir oil not over

MOSCOW (Reuters) - Russian conglomerate Sistema (SSAq.L: Quote, Profile, Research, Stock Buzz) still hopes to win control of the $7 billion Bashkiria oil assets despite market expectations they will pass into the control of state energy firms, its chairman said on Tuesday.

Vladimir Yevtushenkov told the Reuters Russia Investment Summit he was talking to all interested parties such as state-controlled gas export monopoly Gazprom (GAZP.MM: Quote, Profile, Research, Stock Buzz) and state-controlled oil major Rosneft (ROSN.MM: Quote, Profile, Research, Stock Buzz).

"I'm in the middle of this fight. The situation is in fact more complicated than it may seem from newspaper reports," said Yevtushenkov, who has personal wealth of over $9 billion with most of his assets in telecoms and high-tech business.

"It can drag on for eternity. There should be some development this year. We will have to either sell the assets or buy out the entire stock," he said.

The Bashkiria oil assets were initially controlled by the government of the Urals region of Bashkortostan on behalf of the Russian Federation, but have changed hands many times in recent years.

In August, the Moscow Arbitration court ruled the assets should be handed to the state due to a series of illegal transactions in the shares.

The assets include mid-sized oil producer Bashneft (BANE.RTS: Quote, Profile, Research, Stock Buzz), refineries Novoil (NUNZI.RTS: Quote, Profile, Research, Stock Buzz), Ufimsky (UNPZI.RTS: Quote, Profile, Research, Stock Buzz), Ufaorgsintez (UFOS.RTS: Quote, Profile, Research, Stock Buzz) and Ufaneftekhim (UFNC.RTS: Quote, Profile, Research, Stock Buzz) and retailer Bashkirnefteproduct (BANPI.RTS: Quote, Profile, Research, Stock Buzz).

Sistema bought stakes of around 25 percent in each of the units several years ago and has said it wanted to help the current major shareholders build a transparent, vertically integrated company on the basis of existing and new assets.

Russian exchanges suspended trading in the shares pending clarification of legal suits as the current owners - unknown firms - have filed for arbitration.

Analysts have long said the Bashkiria oil assets could eventually fall under the wing of state-controlled companies as the Kremlin wants to tighten its grip over the energy sector.

Interfax news agency reported last week the government would split the assets between Rosneft and Gazprom.

The agency cited unnamed sources as saying Gazprom would get oil producing assets of Bashneft (BANE.RTS: Quote, Profile, Research, Stock Buzz), while Rosneft would get four refineries and a network of petrol stations.

Rosneft's chief financial officer Peter O'Brien told Reuters on Tuesday his firm would consider buying Bashkiria refineries when they are offered for sale.