December 12, 2016 / 7:24 AM / 2 years ago

BRIEF-Glencore, Qatar to buy a 19.5 pct interest in Rosneft

Dec 12 (Reuters) - Glencore Plc

* Jse: Gln - Gln - New Strategic Partnership Between Glencore And Qatar Investment Authority Relating To Rosneft

* New strategic partnership between Glencore and Qatar Investment Authority relating to Rosneft

* Consortium will acquire from Rostneftegaz a 19.5 pct interest in issued share capital of Rosneft ( shares) for eur 10.2 billion

* Glencore will commit eur 300 million in equity ( Glencore equity) and QIA will commit eur 2.5 billion in equity to consortium

* New 5 year offtake agreement with Rosneft representing a sizeable additional 220,000 bbls/day for Glencore marketing business

* Additional opportunities through a strategic partnership for further cooperation, including infrastructure, logistics and global trading

* Deal is conditional on finalisation of all relevant financing, guarantee and other agreements and is expected to close in mid-december 2016

* Glencore and QIA have concluded various agreements which provide for establishment of a 50:50 consortium

* Balance of consideration for acquisition of shares to be provided by non- recourse bank financing, principally by intesa Sanpaolo S.PA

* Glencore will not have any economic exposure to its interests in shares

* Limited liability structure fully ring-fenced and non-recourse to glencore apart from its eur 300 million equity contribution and provision of margin guarantees of up to eur 1.4 billion Source text for Eikon: Further company coverage:

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