4 Feb 2010 19:22

TNK-BP must refinance $1.5 bln in debt in 2010 out of $7 bln total

MOSCOW. Feb 4 (Interfax) - TNK-BP currently has debt totaling $7 billion, of which the company must refinance $1.5 billion this year, CFO Jonathan Muir said at the Russia 2010 forum organized by Troika Dialog .

The company is considering all borrowing options.

TNK-BP is aiming for a smooth repayment period, of four-five years. The company expects to raise dollars but is ready to use ruble obligations, he said.

Muir said the medium- and long-term strategy that the board of directors is to examine at a meeting would reflect growth and that the company is ready to expand in Russia and abroad as opportunity allows. Projects close to Russia would be logical, but a project's effectiveness will be the decisive factor, he said.

TNK-BP placed five-year and 10-year bonds at the end of August totaling $1 billion and yielding 6.45% and 7.5% respectively.