Oil giant Rosneft preparing $15bn bond issue

Russia's state-run oil giant Rosneft is seeking to raise 800 billion roubles ($15bn, £9.6bn, €12.6bn) in a bond issue, Russian news agency Prime has reported.

The debt would be raised on the Russian market in the form of six-year bonds, Prime reported.

Rosneft has struggled to raise cash on global financial markets after the US and EU imposed economic sanctions on the company over Russia's role in the Ukraine crisis.

The latest sanctions specifically banned Rosneft from accessing financial markets in the West. Meanwhile the price of crude oil has tumbled around 40% since the summer.

Both events have hurt the company's market valuation, which has plunged by around 40%.

Rosneft owes around $60bn to banks and bondholders and has asked the Russian government for a 2 trillion rouble bailout to be allocated from the country's Sovereign Wealth Fund. The request is being considered by the government.