Russia 110215 Basic Political Developments

Sberbank Report Changed

Sberbank lowered its 2010 net income report to about 175 billion rubles ($6 billion), chief executive German Gref said Monday during a meeting with Vladimir Putin at the prime minister's residence near Moscow.

Sberbank reported profit of 183.6 billion rubles under Russian accounting standards on Jan. 25. That figure "will be subject to correction, so-called post-

balance-sheet events," Gref said.

Profit will be a "significant figure in the region of 175 billion rubles, which is twice as good as in Sberbank's best years," Gref said.

(Bloomberg)

RusHydro Seeks Icelandic Partner in Kamchatka, Kommersant Says

By Brad Cook

Feb. 15 (Bloomberg) -- OAO RusHydro, Russia’s largest renewable energy utility, is seeking an Icelandic partner to develop geothermal resources on the Kamchatka Peninsula in the country’s Far East region, Kommersant said, citing RusHydro.

Reykjavik Geothermal is one potential partner, the Moscow- based newspaper said today. RusHydro may buy shares in the Icelandic company, which was founded in 2008, Kommersant said.

To contact the reporter on this story: Henry Meyer at hmeyer4@bloomberg.net

To contact the editor responsible for this story: Brad Cook at bcook7@bloomberg.net

http://www.google.com/hostednews/afp/article/ALeqM5iKuKjvYBKJpSXI_zNuerqipNQeVw?docId=CNG.ebeff272fc0b04d38c80f83bba916cbc.811

(AFP) – 9 hours ago

MONTREAL — Russian industrialist Oleg Deripaska was in Canada Monday reportedly to discuss partnering with the world's largest hydroelectric utility Hydro-Quebec on energy projects in developing nations.

His arrival in Canada on Sunday was confirmed by members of his entourage to AFP.

Deripaska, among Russia's richest men, earlier told the daily Globe and Mail he would meet with Hydro-Quebec executives to discuss opportunities in Latin America, with its vast undeveloped water resources, and elsewhere.

"They have knowledge and expertise," he told the newspaper, referring to Hydro-Quebec. "We're looking for a partner to build new hydro plants."

"It's always better to share with a knowledgeable partner, in my view, especially in a green field operation," he added.

"We know some things, they know some things. A utility company has a great opportunity to attract money. We and they (together) could reduce the cost of capital."

Deripaska controls EuroSibEnergo, Russia's second largest power producer. He said he sees tremendous growth opportunities.

"I believe this company will double its capacity in the next 20 to 25 years," he told the Globe and Mail.

Hydro-Quebec declined to comment on any discussions with Deripaska.

In Moscow, a spokesman for Deripaska said an announcement regarding his Montreal trip could come as early as Wednesday. The billionaire oligarch was to leave Montreal on Monday afternoon.

EuroSibEnergo and prospective Canadian spouse plan South American honeymoon

http://www.bne.eu/dispatch_text14235

bne
February 15, 2010

Oleg Deripaska held talks on Monday with Canada's Hydro-Quebec - the world's largest hydroelectric utility - on a planned partnership to develop energy projects in developing nations, reports AFP.

The oligarch told the Globe and Mail last week that his electric utility EuroSibEnergo has been discussing a link up with the Canadian company for several months. Deripaska is joining the trend for Russian companies looking to diversify their operations by accessing international markets, with a partner alongside to help out with the technical side - the tie-up between BP and Rosneft in January being the highest profile example.

"They [Hydro-Quebec] have knowledge and expertise," he told the newspaper. "We're looking for a partner to build new hydro plants. It's always better to share with a knowledgeable partner, in my view, especially in a green field operation." Primarily, Deripaska is eyeing projects in South America, with its vast undeveloped water resources, according to reports. "We know some things, they know some things. A utility company has a great opportunity to attract money. We and they (together) could reduce the cost of capital."

News of the talks comes at a fortunate time for EuroSibEnergo, which plans to list in Hong Kong next month after scrapping a planned IPO late last year over concern that investors would be unwilling to pay the price it hoped to attract. The fact that Rusal is the company's major customer - and therefore offers a significant risk of transfer pricing - unsettles many. The negotiations - on which both Deripaska and Hydro-Quebec declined to offer details - allowed the Russian tycoon however to claim that he believes EroSibEnergo "will double its capacity in the next 20 to 25 years."

Deripaska’s Basic Element Starts Taxi Business, Kommersant Says

By Henry Meyer

Feb. 15 (Bloomberg) -- Russia’s billionaire Oleg Deripaska’s Basic Element holding company started a taxi business using a fleet of cars made by his automaker GAZ Group, Kommersant reported.

Basic Element started operating taxis today at the Krasnodar airport, which Deripaska controls, and plans to extend the service to three other airports in southern Russia, including Sochi, the Moscow-based newspaper said, citing Basic Elements’ Russian Machines unit.

The fleet is comprised of Volga Siber sedans, Kommersant said.

To contact the reporter on this story: Henry Meyer at hmeyer4@bloomberg.net

To contact the editor responsible for this story: Brad Cook at bcook7@bloomberg.net

Last Updated: February 15, 2011 00:44 EST