BP PLC (BP.LN) Tuesday said it would "reluctantly" withdraw the last of its technical specialists currently seconded to its Russia joint venture TNK-BP so they can work on other projects around the world.
"The decision to redeploy the staff is a business decision - there is a global shortage of skilled people in the industry and BP has numerous other ventures, for example, in Azerbaijan, the Middle East and the Gulf of Mexico, where their skills are needed and valued," BP said in a statement.
The news comes amid a bitter battle between BP and its billionaire Russian partners in the 50-50 venture, who have complained about the number of expatriate workers at TNK-BP, deeming them too expensive.
The 148 BP staff working at the firm had already run into administrative difficulties with the Russian authorities over their employment documents.
Later they were prevented from working because of a Russian court order in a case filed by a small local brokerage that is a shareholder of TNK-BP's traded subsidiary OAO TNK-BP Holding (TNBP.RS).
BP Tuesday said it would withdraw the last 60 of those employees.
"This step will undoubtedly effect TNK-BP's production," BP executive Alistair Graham told reporters. TNK-BP is the country's No. 2 oil producer.