KKCG, a Czech Repulic-based oil and gas company, has acquired an oil storage and pumping station terminal in Oktyabrsk, Russia, following approval from the federal government.
The terminal has a capacity of 3.4 million tonnes and is situated on road, rail and shipping routes, as well as near the Druzhba pipeline which transports about 75% of its oil to the Czech Republic.
KKCG says it will use the acquisition to break into the Russian market and the deal follows a long process for the company, which first bid for the terminal in March this year. The Russian antimonopoly office wanted more information from KKCG before it approved the sale, which delayed the acquisition process.
Itera, the gas producer and vendor that sold the terminal, says it did so because it wanted money to further invest into gas production, a sector it focuses on. The price of the acquisition was not disclosed.