Moody's Investor Services announced that it has upgraded the corporate family and probability of default ratings of Tatneft to investment grade "Baa3", the rating outlook is Stable. It is the first time Tatneft receives an investment grade rating from a leading rating agency.
The upgrade to investment grade rating Baa3 reflects, inter alia, (1) the company's vast reserves base; (2) its low finding and development costs and the availability of developed infrastructure; (3) the company's strong financial metrics, underpinned by low leverage and the absence of significant capital expenditure requirements. The upgrade is also driven by the recent upgrade of the rating of the Republic of Tatarstan, Tatneft's core shareholder, to Baa3 from Ba1.
Full press-release relating to Tatneft's ratings is available on Moody's web-site: www.moodys.com