Transneft places series 02 bond issue worth RUB 35bn
Transneft has placed its series 02 bond issue worth RUB 35bn (approx. USD 1.18bn), the Russian pipeline giant announced in a statement today. Transneft placed 35m bonds with a par value of RUB 1,000 (approx. USD 33.78) each by public subscription. The first coupon rate was set at 11.75 percent, RBC reports.
Oil Transporting Joint Stock Company Transneft was established in 1992 and is the legal successor of the USSR Ministry of Oil Industry Main Production Department for Oil Transportation and Supplies (Glavtransneft). It operates 50,000 km of oil pipelines transporting 93% of oil in Russia. Transneft currently carries out construction of the Baltic Pipeline System-2 (BTS-2) routed from Unechi (Bryanskaya region) to Ust-Luga (Leningrad region). BTS-2 construction completion is planned for Q I, 2012.