Putin sees success for Glencore, Qatar, Intesa in Russia post-Rosneft deal | Reuters

 Putin sees success for Glencore, Qatar, Intesa in Russia post-Rosneft deal
| Reuters

By Olesya Astakhova

MOSCOW President Vladimir Putin told trading giant Glencore, Qatar's sovereign wealth fund, and Italian bank Intesa their businesses in Russia would be successful after they took part in the privatisation of a stake in Rosneft."I want to thank you for your trust, for your decision, want to express confidence that your business in Russia will be developing and developing successfully," Putin told a meeting with the heads of the companies.The meeting was also attended by Igor Sechin, chief executive of Rosneft, in which the state sold a 19.5 percent stake last month to the consortium of Glencore and the Qatar Investment Authority. Intesa advised on the deal and provided 5.2 billion euros ($5.58 billion) in financing.Putin said he hoped Intesa would expand its presence in Russia.

Russia sold the Rosneft stake for 10.2 billion euros ($10.94 billion), earning revenues for the state budget hit by low oil prices and Western sanctions. Putin said since the deal was announced on Dec. 7, Rosneft's market value had risen 18 percent.

"So you have already earned," he said. Ivan Glasenberg, Glencore chief executive, told the meeting the deal was very important for the global commodities trader, which is studying the option of swap deals with Rosneft and oil supplies to India and other Asian markets, including China. Earlier in January, Rosneft signed a deal with a company linked to Qatar and Glencore to supply up to 55 million tonnes of crude oil in total over a five-year period.

Currently, Rosneft's largest buyer of oil is Swiss commodities trader Trafigura with estimated annual purchasing volumes of around 20 million tonnes, equal to the entire annual output of two large refineries.($1 = 0.9322 euros) (Reporting by Olesya Astakhova; Writing by Denis Pinchuk and Katya Golubkova; Editing by David Evans)

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Updated Date: Jan 25, 2017 22:37:11 IST