TNK-BP is a joint venture between oil giant BP and four billionaires connected with Russia who have demanded that Dudley resign, accusing him of favouring BP. The claims have been denied by the British.

“We are very disappointed with the decision,” BP said in a statement. “However, Robert Dudley remains chief executive pending completion of the appeal process. He has BP’s full support.

“We believe this is a further example of the administrative activities orchestrated by the other shareholders.”

A TNK-BP representative said it would appeal within 10 days and yesterday’s ruling would not be enforced before the appeal decision.

Dudley has been in hiding in central Europe, with BP citing harassment and interference in his everyday life as the reason for his temporary departure from Russia.

Chief financial officer James Owen quit his position this month because of the row.

TNK-BP is responsible for 25 per cent of BP’s oil production. BP shares rose 2.5p to 527p.