MOSCOW, February 3 (RIA Novosti) - Russian natural gas company Itera is prepared to hold an initial public offering (IPO), a senior company executive said Friday.

Deputy Chairman Sergei Vorobyov said the company's investment plan for this year envisaged the issuance of credit notes, a move he called "a step toward a new circle of investors."

Itera currently has in circulation ruble-denominated bonds that it issued in 2004 worth $71 million, he said.

Itera is the world's fourth largest natural gas company in terms of reserves. It holds a virtual monopoly on gas trading in two key former Soviet republics, Georgia and Ukraine, which lie at the gateway to Western European energy markets. The company is also an increasingly important player in the energy-rich Caspian Sea region.