TNK-BP boss must clear status to stay in Russia
Russia’s migration service said yesterday it would not give a visa to TNK-BP chief executive Robert Dudley without a valid contract of employment at the oil firm.
A spokesman at the Federal Migration Service (FMS) said: “We cannot grant a visa to Mr Dudley before he presents a valid contract. The previous contract expired and we have no proof that it has been prolonged.”
The move is the latest in a long-running battle at TNK-BP, a 50-50 joint venture between BP and four oligarchs, over the firm’s direction.
The four Russian billionaires – Mikhail Fridman, Viktor Vekselberg, Len Blavatnik and German Khan – own a 50 per cent stake in TNK-BP, which is consolidated in holding firm AAR, and want Dudley replaced because they say he solely represents BP’s interests.
AAR also wants TNK-BP to buy and develop fields abroad. BP denies Dudley only looks after their interests, and insists he is the right man for the job. BP favours the joint venture drilling in Russia as it says there are many wells to exploit in its domestic market.
TNK-BP is Russia’s second biggest foreign investment and investors are following the fight. Dudley’s contract expired last year but BP says it is still valid under Russia’s labour code because it has never been officially terminated and therefore rolls over automatically.
But the four Russian billionaires, who want to sack Dudley as part of their dispute with BP, say the contract has never been officially renewed and so is no longer valid.
The FMS gave Dudley a temporary visa last week in order to sort out his employment terms. Dudley said: “They gave me a 10-day visa. In this time I should provide them with confirmation that my contract is valid.”
The FMS spokesman added: “Mr Dudley has been given 10 days to present a contract. We may extend his visa one more time, but without a valid contract, he cannot work in Russia.”
Observers say AAR officials may try to find a way to suspend Dudley from his post over the next few days, which will make a new visa unnecessary.
Sixteen of TNK-BP’s senior Russian managers last week sued Dudley, claiming he discriminated against them in favour of foreign staff at the firm.