Russian oil major OAO Gazprom Neft (SIBN.RS) said Friday it has agreed with the Moscow city government to make Igor Tsibelman chief executive of Sibir Energy PLC (SBE.LN), the troubled oil company in which they both own large stakes.
A Gazprom Neft insider, Igor Tsibelman was first appointed chief executive last week, but the decision was reversed at the request of other shareholders.
Gazprom Neft owns 34% of Sibir and the Moscow city government owns 18%.
Gazprom Neft said in a statement that it will appoint three of Sibir's board members, and two will come from the Moscow government. It added that Gazprom Neft and the government are still working together on a shareholder agreement.
Sibir and Gazprom Neft jointly operate the strategically important Moscow refinery. The Moscow city government has repeatedly tried to block Gazprom Neft's efforts to take control of the 200,000 barrels of oil a day refinery.