The Wall Street Journal reported that Russia’s Rosneft (LSE:ROSN) is set to buy a 50 percent stake in TNK-BP Ltd. from BP plc (LSE:BP) for about $25 billion. It is also looking to buy out BP’s partners for up to $28 billion, and has signed a preliminary agreement to that effect.

As quoted in the market news:

A deal for all of TNK-BP, Russia’s No. 3 oil company by output, would reshape the oil industry in the world’s largest energy producer, shifting ownership further into Kremlin hands.

Acquiring all of TNK-BP would cement Rosneft’s position as the largest publicly traded oil producer in the world, giving it output of four million barrels a day—more oil than produced by Iraq.

Click here to read the full report from The Wall Street Journal.