BP to fight hard on TNK as profits soar

By Tom Bergin

LONDON (Reuters) - The chief executive of BP (BP.L) threatened his oligarch partners in TNK-BP with a long and hard fight in their battle for control of the Russian oil company, as BP reported better-than-forecast quarterly profits.

Tony Hayward said BP would use "all legal means" to "vigorously" fight the four billionaires who own 50 percent of TNK-BP, Russia's third-largest oil producer.

"We will not be intimidated by strong arm tactics," he told a news conference to announce BP's second-quarter results.

TNK-BP's CEO Bob Dudley fled Russia last week, blaming a campaign of harassment launched by the billionaires, which operate as the Alfa Access Renova (AAR) consortium.

Since early March, TNK-BP's offices have been raided by security forces, Dudley has been questioned in relation to a tax probe and labour law violations and foreign employees of TNK-BP and BP secondees have had difficulties securing visas.

Analysts said Dudley's departure was a sign AAR was gaining the upper hand but Hayward said the battle was only starting.

"We've only been at it six months ... We will see who is the weaker party in due course," Hayward added.

Hayward said Dudley, whom AAR accuses of favouring BP and of poor performance, was in a central European location, which Dudley would likely reveal "in the next day or so".