| Other Photos |
 |
|
 |
LUKOIL Seeks VEB's Aid
Russia’s LUKOIL has applied to VEB for raising the loan, although the negotiations about terms of the credit facility are still underway. The oil company needs $1.8 billion.
LUKOIL CEO Vagit Alekperov announced yesterday that the company had applied to VEB to raise $1.8 billion to refinance loans of foreign banks. “VEB has our request for $1.8 billion but the decision hasn’t been taken yet,” Interfax quoted Alekperov as saying. “We are negotiating, as we view the rate too high.”
In the recent month, Vagit Alekperov has apparently acted as the speaker of Russia’s oil and gas sector in part of seeking the government’s aid. Exactly this businessman was the first to say that the biggest companies were willing to raise government’s loans at the market terms to pay off foreign debts. At that time, Alekperov estimated LUKOIL’s requirements at $2 billion to $5 billion till the middle of 2009.
Under the last GAAP report of LUKOIL, the company has to make credit payments of $2.311 billion till the middle of the next year. Besides, LUKOIL needs money to take over foreign assets under the deals announced in summer, including the Akpet chain of petrol filling stations in Turkey and 49 percent in the firm than manages ISAB refinery in Sicily.
As to Sicilian project, LUKOIL agreed in July to buy the stake from Italian ERG (that retains 51 percent) for ˆ1.347 billion, and the plans were that the last payment would be made in November. Yesterday, however, LUKOIL and ERG inked a supplement to the agreement on the joint venture creation. The deal will be closed by December 1, but LUKOIL will transfer only the first portion of the amount (ˆ600 million) by that time, paying the remainder via three tranches till September 2009.
www.kommersant.com
All the Article in Russian as of Nov. 07, 2008
|
|
|
