Russneft: No Plans to Merge with Neftisa
Russian oil producer Russneft said on Thursday that it had no plans to merge with Neftisa, but said the idea had been discussed many times. Russneft was responding after sources told Reuters that Russia's top state lender Sberbank opposed a plan by billionaire Mikhail Gutseriyev to merge his oil assets, Russneft and Neftisa, into one firm and replace co-owner Glencore.
Rosneft, Eni Fail to Discover Oil at Black Sea Well
Russia's state oil company Rosneft and Italy's Eni did not make a commercial oil discovery in the Black Sea as the well they were drilling proved to be dry, a source close to the operations told Reuters on Wednesday. Rosneft chief executive, Igor Sechin, has partnered with a number of foreign companies to develop Russia's offshore regions, though western sanctions have forced some of its partners such as ExxonMobil to suspend projects.
Putin Okays Loading Start at Yamal LNG
President Vladimir Putin on Friday launched the first loading of liquefied natural gas at the Novatek-led Yamal LNG project in the Arctic, which will further expand Russia's global energy reach. The Yamal project, which required investments of $27 billion, will allow Russia to fulfil a plan to double its share of the global LNG market by 2020 from around 4 percent now.
Oil and Trump: Russians Full of Optimism in Davos
What a difference a year makes. Twelve months ago, the mood of the Russian delegation at the World Economic Forum in Davos was distinctly gloomy, with oil prices near 12-year lows below $30 per barrel and Western sanctions depressing their economy and financial markets. Since then, however, Russian stock and bond markets have risen about 50 percent, boosted by rebounding oil and - more recently - expectations the new U.S.
Rosneft privatization Completed
Yesterday at the meeting with Russian President Vladimir Putin Igor Sechin, Rosneft's head informed that the Rosneft privatization was completed and the deal on selling a 19.5% stake in Rosneft for 10.5 billion euro has been completed. The strategic investor became the consortium of Glencore trader company and Qatar’s sovereign find. Sberbank CEO Herman Gref considers Rosneft privatization deal successful due to discount.
Rosneft Delivers First Gasoline Cargo to Asia-Pacific
Energy giant Rosneft said on Thursday its trading arm had delivered an inaugural gasoline cargo to the Asia-Pacific, marking what could be Russia's first foray into a region dominated by OPEC producers from the Gulf. The 200,000-barrel cargo, bought by Rosneft from the international market and taken by Indonesian state energy company Pertamina, was delivered on free-on-board (FOB) terms to Malaysia.
Sovcomflot Revises Pricing on USD 7-year Bond
Russian shipping company Sovcomflot has cut the yield on its seven-year U.S. dollar bond to 5.375 percent - 5.5 percent, according to a lead. The notes will price within that range. The latest level compares with guidance of 5.625 percent area and initial price thoughts of 5.75 percent area. The benchmark-sized notes are expected to price later today. Citigroup, ING, JP Morgan, Sberbank and VTB Capital are the lead managers.
Mechel Signs Debt Restructuring Deal with Sberbank
Russian coal and steel producer Mechel said on Monday it had agreed a debt restructuring deal with the country's biggest bank Sberbank totalling 30 billion roubles ($446 million) and $427 million. The mining company, controlled by businessman Igor Zyuzin, borrowed heavily before Russia's economic crisis and has struggled to keep up repayments as demand for its products weakened alongside tumbling coal and steel prices.
French Banks Eye Yamal LNG Project
French banks may participate in lending for the Russia's Yamal liquefied natural gas (LNG) project, a relevant agreement may be signed in 2016, Tass reported quoting Russia's Economic Development Minister Alexei Ulyukayev. "As for French banks - we have made very serious progress there, we are very optimistic about it. I do hope [that the agreement on lending will be signed this year]," the minister said.
Doha Oil Meeting Likely to Yield 'Partial Output Freeze'
Analysts at Moscow-based Sberbank CIB believe that the most likely outcome of a meeting of leading global oil producers in Doha on Sunday is a partial output freeze that supports a limited rise in oil prices. The largest producers, including Saudi Arabia and Russia, are scheduled to meet to finalise a deal reached in February to freeze oil output at January levels aiming to bolster oil prices.
Russian Banks Sign Loan Deal with Yamal LNG Worth $4.1 billion
Russia's Sberbank and Gazprombank have signed a loan agreement with Yamal LNG worth 3.6 billion euros ($4.1 billion), Interfax news agency reported on Monday citing unnamed sources. Russia's Novatek holds 50.1 percent in the project, which aims to start producing liquefied natural gas next year. France's Total and China's CNPC control 20 percent each, while China's Silk Road Fund bought a 9.9 percent stake for 1.09 billion euros last month.
Novatek CEO: Sanctions Hurt Yamal LNG, Upbeat on Plans
International sanctions have undermined the ability of Russia's Yamal LNG project to raise necessary funds but it will be launched as scheduled, Leonid Mikhelson, head of the plant's main shareholder, said in a televised interview on Tuesday. The company, co-owned by Gennady Timchenko, an ally of President Vladimir Putin, was placed under U.S. sanctions in 2014…
Russia Considers Drastic Steps to Plug Finances Hit by Tumbling Oil
Russia is running out of options to plug a yawning hole in its budget - and steps unthinkable before oil prices began to plunge 20 months ago are now being considered. Two senior financial officials told Reuters that authorities were discussing the possibility of calculating rouble rate levels against the dollar that could compensate for some budget losses caused…
Kremlin's Long-term Gas Deals in Europe Intact For Now
Russian gas giant Gazprom will lower its prices to keep European customers locked into long-term supply contracts, maintaining an arrangement that has for decades helped Moscow secure political leverage in Europe. But Russia will only be able to preserve its long-term contracts for the next few years and will eventually have to sell more of its gas on the spot market, loosening its hold over customers, analysts said.
Russia Stuck with Abandoned Gas Pipes Worth Billions
Gas pipes worth 1.8 billion euros ($1.95 billion) are to be left stranded on the shores of the Black Sea after Russia's decision to suspend work on the Turkish Stream pipeline, a potent symbol of Moscow's falling out with Ankara. Russia has set out to punish Turkey after it shot down a Russian warplane in Syria last week, imposing trade sanctions and releasing…
Yamal LNG Project on Track, Says Russia's Sberbank
Russia's Yamal LNG liquefied natural gas project is on track and will be profitable even with low oil and gas prices, Sberbank Chief Executive German Gref said on Tuesday. "This is the most expensive project, (it) will completely change the gas economy of the country," he told President Vladimir Putin. (Reporting by Denis Dyomkin; writing by Vladimir Soldatkin)
Yamal LNG Financing in Final Stages
A deal to raise financing for the Novatek-led Yamal LNG project in Russia is in its final stages, Chairman of Gazprombank, Andrey Akimov, told Reuters. Gazprombank is a co-lender to Yamal LNG on the Russian side, along with Sberbank. State development bank VEB has pledged $3 billion in banking guarantees to the project. Akimov said that Chinese lenders are set to provide $12 billion…
Russian Oil Profits Up, Goldman says "buy"
Weaker rouble, low tax take boost Russian oils' earnings. When the head of the Kremlin's oil major Rosneft, Igor Sechin, went to see Prime Minister Dmitry Medvedev last month to report on his achievements, he proudly boasted about a bullish report from the U.S. investment bank Goldman Sachs. Goldman's analysts said they had spotted a buying opportunity in the Russian oil sector.
Russian Assets Surge as Oil Takes Off
Russian assets jumped on Thursday, supported by a lift-off in the oil price and rally on international markets, helping to erase the impact of a plunge in global shares earlier in the week. At 1515 GMT, the rouble was 3.7 percent stronger against the dollar at 66.25 and up 4.3 percent to 74.41 versus the euro. The dollar-denominated RTS index of Russian shares was up 6.5 percent to 804 points…
Gazprom Q1 Profit Soars on Weak Rouble
Russia's largest gas producer Gazprom beat expectations with a 71 percent jump in first-quarter net profit after weakness in the rouble more than compensated for a drop in sales volumes to Europe. Gazprom's prices for gas sold to Europe are linked to the price of oil, but a time lag of several months means that its sales in the three months to March 31 were at prices pegged to oil at almost twice its January level of around $50 a barrel.
