Reuters - Russian oil major Lukoil agreed to buy Turkish fuel distributor Akpet for $500 million on Monday, securing 5% of Turkey's oil product retail market as it continues its downstream expansion. Lukoil, Russia's second-largest oil producer, plans to double its Turkish market share to 10% within a decade after acquiring eight oil product terminals with total capacity of 300,000 m³, company president Vagit Alekperov said.
"Lukoil bought Akpet for a little bit more than $500 million," Alekperov told a news conference in Istanbul after signing the deal with Akpet's owners. Lukoil last month took its first major step into the western European refining business with the $2.1 billion purchase of a 49% stake in Italian refiner ERG SpA's Isab di Priolo refinery on Sicily.
The Russian company, owned 20% by U.S. oil major ConocoPhillips, plans to invest $25 billion in refining and retail over the next decade, excluding acquisitions. Its acquisition of Akpet, which operates 693 gas filling stations in Turkey, also gives Lukoil control of five liquefied natural gas (LNG) storage tanks with total capacity of 7,650 m³.