Editing Rosneft (section)

====Acquisition of assets of Yukos====
{{See also|Yukos}}
[[File:Moscow, Sofiyskaya embankment.jpg|thumb|265px|The Rosneft headquarters next to the [[Saint Sophia Church, Moscow|Saint Sophia Church]] on the bank of the Moskva River]]
Starting in 2004, the Russian government organized a series of auctions to sell the assets of [[Yukos]] Oil Company, of which Rosneft won the majority. On 22 December 2004, Rosneft purchased [[Baikal Finance Group]], which bought [[Yuganskneftegaz]] (Yugansk), a main asset of Yukos, three days earlier at a state-run auction for [[United States dollar|US$]]9.35 billion to satisfy tax debts.<ref name="asset">{{cite news |url=https://www.ft.com/content/f371c836-1645-11e4-93ec-00144feabdc0 |title=Timeline: The rise and fall of Yukos |work=[[Financial Times]] |date=28 July 2014 |access-date=11 May 2020 |url-access=subscription}}</ref> According to some estimates,{{who|date=January 2015}} this operation was directed by Russian authorities in order to nationalize Russia's oil and gas industry. In response to the deal, [[Andrei Illarionov]], then a senior Putin economic advisor, denounced it as "fraud of the year".<ref>{{Cite news |url=http://www.mosnews.com/money/2004//12/28//illarionov.shtml |title=Putin's Advisor Calls Yuganskneftegaz Sale "Fraud of the Year" |date=29 December 2004 |work=MosNews |access-date=21 March 2018 |url-status=usurped |archive-url=https://archive.today/20041229122106/http://www.mosnews.com/money/2004//12/28//illarionov.shtml |archive-date=29 December 2004}}</ref>

In 2005, [[Mikhail Khodorkovsky]] (former chairman of [[Bank Menatep|Menatep]]) and [[Platon Lebedev]] (business partner of Khodorkovsky) were sentenced to nine years in prison for fraud and [[tax evasion]]. In February 2007, they were charged again and accused of stealing $25 billion worth of oil from Yukos subsidiaries. They were convicted, but in 2013 [[Vladimir Putin|Putin]] pardoned Khodorkovsky and 2014 the [[Supreme Court of Russia|Russian supreme court]] announced that Lebedev should also be freed early.<ref name="asset" />

The purchase of Yugansk in 2005<ref>{{cite news |url=http://news.bbc.co.uk/2/hi/business/4315593.stm |title=Managers' row hits Russian merger|date=3 March 2005 |work=[[BBC News]] |access-date=11 May 2020}}</ref> greatly increased the number of assets and production for Rosneft. Subsequently, Rosneft filed a lawsuit against Yukos in connection with the use of the understated transfer prices for the purchase of oil from Yuganskneftegaz prior to its breakup. At the same time, Rosneft itself also purchased oil and gas from its subsidiary, Yuganskneftegaz, at [[Transfer pricing|transfer prices]].{{Citation needed|date=March 2018}}

[[File:RF NG pipestoEU.gif|thumb|180px|Major existing and planned natural oil and gas pipelines supplying [[Petroleum industry in Russia|Russian oil and gas]] to Europe]]
In May 2007, Rosneft won a number of auctions for the sale of Yukos' assets, including five refineries and oil companies Tomsk Oil Company and Samara Oil and Gas Company, making it the largest oil company in Russia. According to experts on the Russian newspaper ''[[Vedomosti]]'', the assets of Yukos, bought by Rosneft at auction organized by the state, went to the company at a discount of 43.4% of the market price of this property. In 2007, the former assets of Yukos provided 72.6% of oil and gas condensate production and 74.2% of Rosneft's primary refining.<ref name="dcv">{{cite news |url=http://www.vedomosti.ru/newspaper/article.shtml?2007/09/25/133276 |script-title=ru:Прокурорский дисконт |trans-title=Prosecutor's discount |first=Irina |last=Reznik |date=25 September 2007 |work=[[Vedomosti]] |url-access=subscription |language=ru}}</ref> In June, Rosneft paid $731&nbsp;million for the transportation assets of Yukos, which had declared bankrupt in August 2006 after three years of litigation over tax arrears.<ref name=eurasia1>{{cite web |publisher=Oil & Gas Eurasia |url=http://www.oilandgaseurasia.com/articles/p/36/article/343/ |title=Rosneft Gets More of Yukos |date=June 2007 |access-date=27 August 2007 |archive-url=https://web.archive.org/web/20120208084343/http://www.oilandgaseurasia.com/articles/p/36/article/343/ |archive-date=8 February 2012 }}</ref> In August, Bogdanchikov said that although the Yukos acquisitions had increased Rosnefts debt to $US&nbsp;26 billion, he planned to reduce debt to 30% of total assets by 2010 by tripling refining capacity and expand into China.{{citation needed|date=April 2023}}