Russian mid-sized oil company Russneft has agreed to extend to 2020 repayment of a $6.2 billion debt with its main lenders Sberbank, the country's largest bank, and Glencore International AG and cut the interest rate to 9% from 12%, Russneft said on Wednesday.
"The new agreements stipulate lower interest rates from both lenders and the extension of the repayment date by the oil company," the company said in a statement.
"The total size of the debt, whose redemption has been restructured in accordance with the document, amounts to over $6.2 billion. The full repayment deadline has been shifted to 2020. The annual interest rate ... was cut to 9%."
The lower interest rate will help Russneft free $200 million a year to implement current and new investment projects and raise output to 18 million metric tons of oil.
Russneft head Mikhail Gutseriyev said in September that the company planned to repay a $12 billion debt within 10 years, including interest.
MOSCOW, January 12 (RIA Novosti)
