Rosneft has surpassed analysts’ expectations and reported a sevenfold increase in profits to 81 billion rubles (1.04 billion EUR) in the first quarter of 2018. The largest oil producer in Russia benefits from higher oil prices and currency fluctuations. The company, headed by Igor Sechin, a longtime supporter of Russian President Vladimir Putin, pursues a policy of aggressive expansion, but at the same time, he pays huge debts.
In 2017, the giant bought the Indian refinery Essar Oil for 12.9 billion USD, which became the first investment of Rosneft in the refining industry in Asia and the largest foreign acquisition in India’s history.
In addition, the world’s largest oil-producing public company has also secured a deal to develop five oil fields in Kurdistan, and will also help the region improve the oil infrastructure through which oil is shipped through Turkey to world markets.
Rosneft did not report the size of its debt. Last month, the company undertook a number of measures, including the announced buyback worth 2 billion USD. The oil giant BP holds 19.75%, while another 19% are owned by the Qatar Sovereign Fund.
The company’s sales rose by 22% annually to 1.72 trillion rubles.