Fitch: Novatek bonds BBB-

Fitch Ratings said it assigned a final local-currency senior unsecured rating of BBB- to OAO Novatek's series 2, 3 and 4 domestic stock exchange bonds and a final national senior unsecured rating of AA+(rus).

The series 2, 3 and 4 domestic exchange bonds represent a senior unsecured obligation of Novatek of RUB 20 billion in total and are due in October 2015.

Novatek has long-term foreign- and local-currency issuer default ratings and senior unsecured ratings at BBB- and its national long-term rating and national senior unsecured ratings at AA+(rus).

The development of the Yamal LNG project is a critical rating factor affecting Novatek's future business profile, Fitch said.

The agency said it anticipates this project will diversify production geographically and provide potential new marketing channels that enhance Novatek's business profile, the agency said.

It would also give Novatek a toehold into the global LNG market and position the company at the center of one of Russia's key energy development projects. Yamal LNG has the potential to ultimately transform the company's core operations, Fitch said.

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