Finance

Businessman Ilya Sherbovich buys 15.46% of Chelyabinsk zinc plant’s shares for $32 million

United Capital Partners (UCP) of Businessman Ilya Sherbovich has bought 8 379.789 thousand shares (15.46%) of the largest Russian zinc producer Chelyabinsk zinc plant (ChTsZ), the enterprise reports.
The deal was concluded on February 3; previously the company didn’t own shares of the plant. On Tuesday, the ChTsZ’s securities cost 128.95 rubles per share at the Moscow exchange, and $3.845 at the London stock exchange, thus the transaction can be estimated at about $32 million.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

On February 17-18, Gazprom will hold eurobonds roadshow

On February 17-18, Gazprom will hold the roadshow for eurobonds of series 35. The presentation will be hold in Paris on February 17, and in London on February 18. The organizers are Credit Agricole, JP Morgan and Gazprombank.
Earlier they reported that Metropol, not Gazprombank will be one of the organizers. Gazprom will place series 35 for financing of the credit raised in Gaz Capital S. A. The presupposed placement sum is Euro 500 million.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

In 2013, MMK could reduce revenue and profitability that will lead to the fall in stock price

In Q4 2013, MMK increased steel production by 1.4% to 2.913 million tons. In the whole year, it reduced by 8.4% to 11.941 million tons due to cessation in steel production at MMK Metalurji at the end of 2012. A. Khalikov, the analyst of Veles Capital says that they have revised the evaluation of MMK shares with the use of DCF method, and reduced target price of the shares from $0.5 to $0.45, and the recommendation remained as ‘to buy’. The main reason for revision of the evaluation was reduction in the forecast for revenue in 2014 by 4.7%. The agency presupposes that steel demand in Russia in 2014 will remain at the level of 2014, and average price for flat sections will be $550 per ton HRC. MMK gained revenue of $8.38 billion in 2013, and EBITDA of $1 billion, and in 2014, they can be correspondently $8.68 billion, and $1.07 billion.
Production results

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

"Rosneft" lands a new role.

It goes from the assets purchase to sale.
"Rosneft", which in recent years has been actively buying up assets, finally acted in the unusual role of a seller. The state-owned company is selling 50% in the oil-producing "Polyarnoe siyaniye" valued at $ 120-150 million, as it considered the project unprofitable. "Rosneft"’s partner the American ConocoPhillips sells the remaining 50% for the same reason. But those wishing to acquire an asset with declining production, which has to be preserved in a few years, have not yet been found.
"Rosneft" put up its 50% - owned in LLC "Polyarnoe siyaniye" for sale, market sources stated to "Ъ" and source in "Ъ" close to the state company confirmed this. The Data-room was opened in the autumn of 2013, the "Polyarnoe siyaniye " value of 100% is estimated at $ 120-150 million. A buyer may immediately consolidate the company: the remaining 50 % of shares are being sold by ConocoPhillips. "Rosneft" declined to comment yesterday, but a source in the state-owned company states that "their interest in the asset still remains".

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

Bashneft has paid off 1.3 billion rubles for the bonds of 4 series

Bashneft paid off coupon income for the bonds of 4 series for the second coupon period. The coupon revenue was 43.13 rubles for 8.65% per annum for series 06 and 08, and 44.13 rubles for 8.85% per annum for series 07 and 09. Total payments were 431.3 million rubles for series 06, 441.3 million rubles for series 07, 215.65 million rubles for series 08, and 220.65 million rubles for series 09. The issues with total nominal volume of 30 billion rubles  were placed in February 2013 for 10 years each. 5 and 7 year offers are made for the loans.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

In 2013, Udmurtneft gained net profit of 18.329 billion rubles

In 2013, Udmurtneft gained net profit of 18.329 billion rubles (-0.1%), revenue of 109.092 billion rubles (+3%), gross profit of 64.388 billion rubles, sales profit of 23.566 billion rubles, and pretax profit of 23.134 billion rubles.
Translated by Nadezhda Poltoratskaya
Source:   http://oilnews.kz/1/novosti/novosti-tek-zarubezhya/chistaya-pribyl-udmurtnefti-v-2013-g-sokratilas-na-01-do-18429-mlrd-rub/

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

Catechistic Rosneft

Grigory Birg of Investcafe gives his opinion.
Rosneft’s accounting has exceeded expectations and results of its development and continuation of activity in a number of important directions should have a positive impact on the company’s share price.
Rosneft will have to use at least four catalysts to increase its capitalization, namely a further reduction of its debt burden,the realization of synergies from the merger with BP-TNK, the development of the gas segment and confirmation of the Russian shelf’s resource potential. Just these issues were interesting for participants of the teleconference, whose beginning was delayed and which ended very quickly.
 

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

NLMK Group announces new stage of development by implementation of Strategy-2017

The NLMK Group, the largest Russian and leading international steel producer, has announced new stage of development due to start of the Strategy-2017 implementation.
The Strategy-2017 provides for investments in the amount of $1.6 billion and additional income in the amount of $1.0 billion per year. The strategy is aimed at the disclosure of the company’s internal potential on account of the increase of the industrial chain’s operating efficiency, the strengthening of the vertical integration in the key types of raw materials, the growth of high value-added products sales, as well as the continuation of programs in the field of environmental protection, industrial safety and the development of human capital assets.
The Group will continue the conservative financial policy, aimed at the further reduction of the debt burden and the financing of investment projects on account of the internal cash flow. Due to this approach, the Group plans to achieve ratio net debt/EBITDA in the amount of 1.0x.
In addition, the NLMK Group intends to pay at least 20% of its net profit under US GAAP to shareholders and to maintain the average level of dividends in the amount of 30% of the net profit during the next 5 years.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

In 2013, Samaraneftegaz increased net profit by 2.7% to 33.3 billion rubles

In 2013, Rosneft’s subsidiary Samaraneftegaz increased net profit by 2.72% to 33.332 billion rubles,  revenue by 5.84% to 120.063 billion rubles, production prime cost by 10.49% to 79.068 billion rubles, and reduced sales profit by 2.69% to 38.959 billion rubles, and pretax profit by 0.16% to 39.132 billion rubles. Within the period, debit debt increased by 1.90% to 49.237 billion rubles, and credit debt reduced by 6.60% to 12.443 billion rubles.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

Igor Sechin counts in his own way.

His assessment of profitability is not in line with market
Igor Sechin, the President of "Rosneft", gave another of his customised financial calculations of the state-owned company. According to him, the dividend yield of the "Rosneft"’s shares could reach 8.5 % based upon the results of 2013. But the figure corresponds to a semi-annual yield. Usually the index is calculated within the whole year, and in this case it will be only about 5%. Igor Sechin’s calculations raised questions among analysts earlier. For example, he recently said, that the capitalization of "Rosneft" has grown by 18%, although in 2013 it fell to 8.1%. As a result, investors react no more to these estimates.
"Rosneft" is going to save the estimated dividend yield at the current level of 8.5%, stated Igor Sechin, the president of state-owned company, on Friday. "If you buy "Rosneft"’s shares now, their annual yield based on accepted standards of dividend payment will be 8.5 %. We will strive to maintain this momentum," - stated Mr. Sechin.

Full text available to premium subscribers only.

Buy full access for 24 hours now

or

Request a quote to subscribe for a longer period

Oil and Gas, Metals and Mining, News from Russia and neighbouring countries
42a Pushkina Street; Ufa, Bashkortostan 450076; Russia
E 54° 43.48836" N 55° 55.52346"
Telephone: +7 927 303 00 25

Theme by Danetsoft and Danang Probo Sayekti inspired by Maksimer