Basic Element Ltd. (Ба́зовый элеме́нт, or simply Базэл) is one of the largest diversified industrial groups in Russia. The company was founded in 1997 and is owned by Oleg Deripaska. It is based in the British tax haven of Jersey and is headquartered in Moscow. It was known as Siberian Aluminum until 2001.

Overview

Basic Element manages Oleg Deripaska's investments into the six economic sectors of energy and mining, manufacturing, financial services, construction and real estate, agribusiness, and airport and airline management. Over 150,000 people work at the group's companies in Russia and the CIS, Africa, Australia, Asia, Europe, and Latin America as of 2014. In 2007 the company's revenues were US$26.8 billion, representing 45% growth relative to the previous year, and it had US$45 billion worth of assets. In 2012 the company's revenues were US$27 billion. Basic Element built several Olympic facilities for 2014 Winter Olympics in Sochi, including the Coastal Olympic Village, Imeretisnkiy sea port, Doubler of Kurortny Avenue in Sochi, renovation of the Sochi International Airport. The total investments account for over $1.4 billion. In June 2016, after the United States Treasury listed Basel on its list of Russian Oligarchs, Officials, and Entities in Response to Worldwide Malign Activity, Valery Pechenkin became the general director of Basel, replacing Gulzhan Moldazhanova. Moldazhanova had been the general director from 2005 until 2009, when Deripaska became general director, and then again from the summer of 2012 until June 2018.

Operations

Energy and mining sector

En+ Group is Russia-based diversified mining, metals, and energy group. En+ Group holds:

Machine building sector

JSC Russian Machines was established in 2005 to unite Basic Element's machine building assets.

Airport management

Basel Aero, a joint venture between the Singaporean Changi Airports International, Basic Element, Sochi International Airport and the Russian Sberbank, is a company-operator of airports in Sochi, Krasnodar, and Anapa. As of 2015 the company handles 9.5% of total passenger traffic and 3.5% of the total cargo traffic in Russia.

Basel Aero Airports

Financial services sector

Basic Element has been managing Oleg Deripaska's personal stake in the amount of 10% of Ingosstrakh's ordinary shares.

Construction sector

JSC Glavstroy is a vertically integrated construction holding corporation. Management functions are carried out by Glavstroy-Management.

Other businesses

Agribusiness

Port business

Real estate

Owners and management

The owner of the "Basic Element" is entrepreneur Oleg Deripaska. Legally most of the assets of the companies included in the "Basic Element" belong to one degree or another to Basic Element Ltd (registered on the island of Jersey), which is 100% owned by A-Finance, a company registered in the British Virgin Islands, the beneficiary of which is Deripaska. CEO is Valery Pechenkin.