TNK-BP seals $675m finance

City A.M. Reporter
RUSSIA’S third-largest oil company TNK-BP has signed a $675m loan with a group of banks, falling short of its targeted $750m after one bank was unable to commit to the financing, banking sources said yesterday.

The firm, which is in the middle of a tug-of-war between the Kremlin and shareholders BP and AAR, will use the proceeds for general corporate purposes.

The Russian government holds the key to BP’s ambitions to sell out of Russian oil company TNK-BP, President Dmitry Medvedev’s deputy Arkady Dvorkovich said yesterday.

“There is only one bid for that (stake) right now, as far as we heard,” Dvorkovich said of BP’s holding in TNK-BP, referring to state-owned Rosneft’s interest.