Russian major Lukoil, the country’s largest privately owned company, has signalled interest in purchasing compatriots Bashneft, which might come on the market as part of President Vladimir Putin’s privatization effort, Reuters reported on Friday.

Lukoil, Delek report strong Q1

MOSCOW, May 30, 2017 – Lukoil, Russia’s second-largest oil producer, said on Tuesday that its first-quarter profit was up 45.5% year-on-year, a day after Israel’s Delek Group reported strong growth.

While total production was down by about 8% for Lukoil, sales were up 21.6% year-on-year due to higher global crude prices, the company said. Profit for the quarter attributable to shareholders was RUB 62.3 billion (USD 1.1 billion).

Delek’s net income, meanwhile, at ILS 220 million (USD 61.6 million), was some 159% higher compared with the same period last year, mostly on expanded gas sales from the Tamar offshore field.

“We have started off 2017 with strong financial results, and during the quarter we successfully completed a series of important strategic steps,” CEO Asaf Bartfeld said in a statement, pointing to the acquisition of Ithaca Energy as a key example.

“Having acquired control of Ithaca, we intend to continue to strengthen the Group’s international presence as part of our strategy to focus on the energy sector and become a key player in global markets.”

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