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Germany mulls nationalization of Gazprom, Rosneft units - Handelsblatt

Published 31/03/2022, 19:16
© Reuters. FILE PHOTO: Model of petrol pump is seen in front of Gazprom logo in this illustration taken March 25, 2022. REUTERS/Dado Ruvic/Illustration
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BERLIN (Reuters) - The German economy ministry is considering expropriation of Gazprom (MCX:GAZP) and Rosneft units in the country amid concerns about security of energy supply, business daily Handelsblatt reported on Thursday, citing government sources.

The discussions between top ministry officials and Chancellor Olaf Scholz aim to prevent massive power cuts if either of these companies, which are systemically important for Germany, gets into difficulties, the newspaper reported.

Both companies are irreplaceable on the German energy market with Gazprom Germania operating large gas storage facilities and Rosneft Deutschland being a key player in the petrol, diesel and kerosene refinery markets, Handelsblatt reported.

© Reuters. FILE PHOTO: Model of petrol pump is seen in front of Gazprom logo in this illustration taken March 25, 2022. REUTERS/Dado Ruvic/Illustration

At the same time, the companies risk a "technical bankruptcy" as banks and business partners have been distancing themselves from companies with Russian owners since Western sanctions against Russia came into force, Handelsblatt said.

Gazprom Germania, Rosneft Deutschland and the German economy ministry could not be immediately reached for comment.

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