RusEnergy

16.02.2005 10:57 MSK MosNews - Western energy companies are "doomed" to invest in Russia because the lure of the country's abundant oil and gas resources is too strong to resist, Vagit Alekperov, the president of Russian oil giant Lukoil said on Tuesday, Feb. 15. Alekperov, who was quoted by Reuters, was speaking to the participants of the Cambridge Energy Research Associates conference. Lukoil's CEO did warn his listeners that foreign companies seeking to develop Russia's abundant riches must be "stubborn and persistent" in developing strong partnerships with Russian companies in order to overcome the strict rules that have been laid down by the authorities. As MosNews reported recently, the Russian government announced its decision to bar foreign companies from bidding on the country's most lucrative natural resource deposits. It was stated that only companies registered in Russia and with no less than 51 percent Russian ownership may take part in license auctions. The new rules have raised fears that the country has become hostile towards foreign investors. Trying to dispell the fears Alekperov said: "I think [Western companies] are doomed to invest in Russia, because of the colossal resources that Russia has. It would be impossible to pass it by." Russia's oil reserves are believed to total about 13 percent of the global total, while its gas reserves are about 25 percent of the global total.