BP-Rosneft Share Swap Cannot Proceed

Arbitration Tribunal Orders Further Hearings

Parties to return to Tribunal to debate BP's "stand-alone" share swap with Rosneft; Arctic Project and Strategic Cooperation with Rosneft remain off-limits to BP

MOSCOW, April 8, 2011 /PRNewswire/ -- The Stockholm Arbitration Tribunal has ruled today that the interim injunction prohibiting the closing of the share swap transaction between BP and Rosneft will remain in place until further notice. The Tribunal has also requested BP and AAR to submit additional evidence so that it can review the share swap component of BP's proposed Strategic Global Alliance with Rosneft announced in January.  The Tribunal has ordered a further round of hearings to be held on this issue at a later date.

This decision follows an Arbitration Tribunal hearing on April 4, 2011 requested by BP to rule on whether the share swap component of its proposed Strategic Global Alliance with Rosneft can proceed on the basis that BP is precluded from any commercial cooperation with Rosneft, including joint exploration of the Arctic.

"AAR welcomes the decision of the Tribunal, which we consider fair, balanced, and thoughtful," said Stan Polovets, chief executive officer of AAR. "We will be pleased to continue to cooperate with the Tribunal and will provide any additional information and evidence it requires during the next stage of the hearings."

SOURCE AAR Consortium