Russian oil company Rosneft has repaid part of a loan taken to pay for the acquisition of TNK-BP. Rosneft has said that on Monday, December 22, it paid around $7 billion to lenders.

According to the company, the overall amount paid throughout the year totaled $24 billion, in full accordance with the credit agreement.

Rosneft in 2012 bought TNK-BP, then third largest oil company in Russia for around $56 billion. The deal was described as the second largest oil industry acquisition in history. The largest oil deal ever is the one from 1998, when Exxon Corp. bought Mobil Corp. for $80 billion.

According to Reuters, Rosneft is due to pay a second loan of $6.9 billion in February 2015.

Rosneft Head Igor Sechin said that: “To service its debt the Company does not need to enter the currency market, because it generates enough foreign currency earnings. Surplus balances are used on the market, in such a manner.

Worth noting, Rosneft is one of three oil companies banned from raising cash in Western banks, due to sanctions imposed against Russia for its involvement in the Ukraine crisis.

The U.S. Treasury also in September added Rosneft boss Sechin to a list of Russian officials banned from entering the U.S.

At the time the Treasury said that sanctions imposed against Sechin do not include Rosneft as a company.

Source: www.offshoreenergytoday.com

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