New Delhi: State-owned Oil India Ltd has raised $500 million through overseas bonds to pay for the bridge loan it had taken to acquire stake in Russian oilfields.
Oil India International Pte Ltd (OIIPL), a wholly-owned subsidiary of OIL, priced the 10-year notes at a coupon of 4 per cent per annum payable half year, the company said in a stock exchange filing.
The notes will be listed on the Singapore Stock Exchange. “The net proceeds will be used for partial repayment of bridge loans raised by OIIPL for financing the recent acquisition of stakes in Russian companies, namely LLC Taas Yuryakh and JSC Vankorneft,” it said. OIL along with its partners Indian Oil Corp (IOC) and Bharat Petroleum Corp Ltd (BPCL) had last year bought 29.9 per cent stake in Taas-Yuryakh oilfield in East Siberia for $1.12 billion and another 23.9 per cent in Vankor oilfield for $ 2.02 billion. The consortium will get 6.56 million tons oil from Vankorneft while 1.5 million tons oil would be received from Taas-Yuryakh by 2019. Russian Oil major Rosneft operates Vankor and Tass-Yuryakh fields and are its wholly owned subsidiaries.
OIL had taken bridge loan to pay for its share of the acquisition of stake in Taas-Yuryakh Neftegazodobycha LLC, which holds and operates two licences for the Srednebotuobinskoye oil and gas condensate field, one of the largest in the East Siberia. PTI
