Russian oil pipeline monopoly Transneft [RTS: TRNF] said Wednesday its unconsolidated net profit calculated to Russian Accounting Standards rose 22.4% year-on-year in the first quarter to 1.174 billion rubles ($50 million), RIA Novosti reports.
The company attributed the rise in net profit to positive exchange rate differences on borrowings drawn in U.S. dollars to finance the construction of the East Siberia-Pacific Ocean oil pipeline system.
Transneft earlier said it expected its consolidated net profit for 2007 to hit 63.6 billion rubles ($2.7 billion).