BP to exit stake in Russian state-oil company Rosneft

The 20 per cent stake in Russian state-oil company Rosneft it has held since 2013 was being sold by the company.

The oil group said in a statement on Sunday that it would no longer report reserves, production or profit from the company and its chief executive would be leaving the board.

The oil major said that Bob Dudley would be stepping down from the board.

Russia's invasion of Ukraine is an act of aggression which is having tragic consequences across the region.

He said that the company had operated in Russia for more than 30 years.

This military action represents a fundamental change. Lund said that the board concluded that the company's involvement with the Russian company couldn't continue.

The company did not say when it might sell its stake in the company. It could either write off the shares or find another buyer. Analysts think that a state-backed Chinese or Middle Eastern group could be interested in the stake, but that it would be difficult for the company to find a buyer.

Lund said the holding was no longer aligned with the strategy of the company. He said that the 20 per cent stake exit was in the best interests of all shareholders.

The changes in the accounting treatment of the stake will lead to a material non-cash charge in the first quarter. The carrying value of the shareholding was said to be around 14 billion dollars.

The company's announcement came just days after a meeting with the UK business secretary to discuss the company's involvement in Russia.

Kwarteng said on Sunday that he was happy with the decision by BP to exit its stake in the oil company. The invasion of Ukraine by Russia must be a wake-up call for British businesses with commercial interests in Russia.