Gazprom completes Rosneft merger, appoints head of new company

Sergei Bogdanchikov will retain his job as chief executive of Gazpromneft, the new company formed yesterday by the merger of Russian gas monopoly Gazprom and state oil company Rosneft. He was previously head of Rosneft.

The Russian government is handing Rosneft over to Gazprom as payment to raise its current 39.3% holding to a controlling stake in the monopoly. A controlling state stake in Gazprom is a prerequisite for opening up trade in its shares to foreigners.

Gazprom chief executive Aleksey Miller has suggested Gazpromneft will also absorb another state oil company, Zarubezhneft. And the establishing of Gazpromneft may also indicate a move by Gazprom towards acquiring Yuganskneftegaz, a subsidiary of