00:17 GMT +3 hours25 November 2014
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Rosneft to Increase Dividend to 25% of Profit

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(updated 18:28 28.10.2014)
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The board of directors of Russian oil giant Rosneft on Monday approved an increase in dividends for 2011 to 25 percent of IFRS net profit, a source familiar with the decision told RIA Novosti.

The board of directors of Russian oil giant Rosneft on Monday approved an increase in dividends for 2011 to 25 percent of IFRS net profit, a source familiar with the decision told RIA Novosti.

“The board of directors meeting was held today. The dividend has been set at 25 percent of IFRS net profit, as announced. I could be mistaken on the kopecks, but the price is at 7.59 rubles per share,” the source said.

Rosneft shareholders earlier approved 2011 dividend payments of 36.564 billion rubles, or 11.6 percent of net profit (up 25 percent on 2010), but the government told Rosneft to increase its dividends to 25 percent of net profit. The additional divident payout could reach 43.2 billion rubles, making a total payout of 79.8 billion rubles or 7.53 rubles a share. Rosneft President Igor Sechin has previously said he intends to maintain the company's dividend payments at 25 percent of net profit.

Rosneft, Russia's largest oil producer, increased production by 2.5 percent in 2011 to 122.5 million tons.