Lukoil in $4.25 Billion Joint Venture for 49% of Italian Refinery

JOHANNESBURG--June 25, 2008--Researched by Industrial Info Resources (Sugar Land, Texas)--Lukoil (OTC:LUKOY) (Moscow), one of Russia's largest independent oil producers, has signed an agreement with ERG SpA Milano (OTC:ERGZF) (Genoa, Italy) to form a joint venture to operate the ISAB refinery in Priolo, Sicily. Lukoil entered the agreement as part of a strategy to increase its presence in Europe and boost its downstream business with investments of up to $25 billion through 2017. The ISAB refinery is one of the largest refineries in the region and is well situated to meet the growing middle distillate demand for kerosene and diesel fuel in Europe.