The debt of RussNeft to decrease to $ 4.3 bln by the end of 2012
Bethlehem (Palestine). By the end of 2012 the debt of RussNeft (RTS: RUSN) will decrease to $4.3 bln, by 2017 the Company is going to pay off its debts in full with the oil price of $ 90 p/b, RussNeft President Mikhail Gutseriev said.
He mentioned that at the beginning of 2012 the debt of the Company was $ 4.9 bln.
According to M. Gutseriev, the Company has adopted its development strategy until 2017. "The year 2017 – all debts repaid, annual oil output of 18 million tons. Annual investment amount of at least $ 500 million. The Company plans to invest in individual oilfields, high-productive wells, minimal CAPEX, maximal production growth”, - he said.
М. Gutseriev noted that taking into account all these factors and with the oil price of $ 90 p/b, by 2015 the Company will pay off its debts to Sberbank (RTS: SBER), by 2017 – to Glencore.
He also added that in 2011 oil output made 11.8 mln tons, in 2012 the Company is going to increase oil output to 14.1 mln.
When asked whether Glencore shares in RussNeft’s subsidiaries could be converted into RussNeft shares, M. Gutseriev said it was the question of the price. "If we are offered a good price, I am ready to sell them, even to exchange", - M. Gutseriev added.