Gazprom selling Russia’s largest petrochemical complex amid massive debts

Gazprom is selling its Gazprom Neftekhim Salavat petrochemical plant in Bashkortostan to the Roskhim holding company, Izvestia reports, referring to three sources familiar with the plans of both companies. The deal is valued at 250–270 billion rubles, and the companies intend to finalize it by the end of 2025.

Gazprom Neftekhim Salavat is Russia’s largest petrochemical complex, founded in 1948. The company produces more than 150 types of hydrocarbon products, including gasoline, diesel fuel, petroleum products, various polyethylenes, styrene, urea, ammonia, and more. By the end of 2024, the company’s revenue reached 302.8 billion rubles, up 14% from the previous year, according to Russian Accounting Standards (RAS) financial statements.

During the same period, net profit fell nearly sevenfold, dropping to 4.4 billion rubles.

Gazprom is proceeding with the sale amid deteriorating financial results. By the end of 2024, the company reported net losses exceeding 1 trillion rubles, the worst performance in its 25-year history. The asset sale may be partly linked to Gazprom’s desire to reduce its debt.