Rosneft loan

Rosneft, seeking to finance Russia’s largest-ever takeover deal, has raised US$16.8 billion in bank loans and agreed on long-term trade finance deals with the world’s largest oil traders, Glencore and Vitol. The state-controlled company said on Monday the loans from Western banks would be sufficient to cover its acquisition of the 50 per cent of Anglo-Russian oil firm TNK-BP which it is buying from BP for $27b in cash and stock. The company also said it has agreed terms with Glencore and Vitol to supply them with up to 67 million tonnes of crude oil over five years under a trade finance deal, equivalent to around 270,000 barrels a day of oil. Industry sources said the deals will give Rosneft around $10b in advance payments. When the takeover is complete, Rosneft will become the world’s largest listed oil company, with daily output equivalent to 4.6 million barrels per day.