Russia: back in fashion

After being shunned for several years by foreign investors after the financial crash of 1998, Russia is back in fashion as a place for international oil companies to hunt down deals that can magnify their reserves and improve the stability of world markets. Isabel Gorst reports

ATTACKS ON the US on 11 September 2001 and the growing threat of war with Iraq have focused international government and industry interest on Russia as an alternative source of oil to the troubled Middle East. President Vladimir Putin has used his first two years in office to promote economic reform and stability, designed to encourage domestic and foreign investment. And high oil prices have helped stimulate not just economic growth, but also appetites for the still considerable risks that await investors in the country. BP the bold BP is by far the boldest foreign oil player in Russia so far. In February, the company announced it would plunge $6.75bn into the creation of a new Russian oil