OREANDA-NEWS. May 21, 2010. Bashneft disclosed the size of dividend for 2009 recommended by its BoD. The dividend is set at RUB 109.65 per share on both types of shares. A record date for shareholders entitled to the dividend and participation in an AGM is set for May 21, while the AGM itself is scheduled to be held on June 29.

Bashneft has declined to follow the dividend policy pursued by its subsidiaries (Novoil, the Ufa oil refinery, Ufaneftekhim, Ufaorgsintez and Bashkirnefteprodukt) this year, which have paid out razor-thin dividends, with a dividend yield not exceeding 0.3%. A dividend yield on Bashneft shares is to be 10% on commons and 14% on prefs, one of the highest among Russian oil companies this year.

According to our estimates, the news may act as a short-term upside driver for Bashneft stock valuations.