Several of the world’s largest energy firms are considering buying shares in Russian oil business Rosneft as part of its stock market flotation.

The Oil and National Gas Corporation of India(ONGC) said it was mulling over a $3bn investment while BP and China’s CNPC are also reportedly interested.

The trio are partners of Rosneft and analysts said buying shares may help them to access future oil supplies.

Rosneft is hoping to raise up to $11bn by selling shares in London and Moscow.

Cultivating links

The flotation, which will see it sell up to 19% of its shares, could value the state-owned business at up to $80bn.

China and India are keen to cultivate their links with Rosneft, one of the world’s largest oil exploration and production firms, as they seek to tap new energy sources around the world.

The two countries are major exporters of oil and need to secure future reserves to maintain their rapid economic expansion.

ONGC, which is controlled by the Indian government, said it was considering making a substantial investment in Rosneft.

The firm already owns a 20% stake in the Sakhalin One oil field off the north-east coast of Russia, in which Rosneft is also invested.

“We are in discussions,” said petroleum minister M S Srinivasan.

Media reports have also linked BP, also a joint shareholder with Rosneft in oil exploration projects off Sakhalin Island, as well as China National Petroleum Company and Malaysian oil firm Petronas with buying shares.

None of the firms have commented on the issue.

Strong demand

Energy firms are vying with investment companies and Russian business interests to scoop up shares in Rosneft, the world’s second largest oil producer in terms of proven oil reserves.

Demand for shares has been strong, Rosneft has said, despite initial concerns that their cost might deter some would-be investors.

Rosneft will reveal the price at which shares have been sold on 14 July.

The flotation is controversial since Rosneft owns production and refining assets once controlled by stricken energy firm Yukos.

Yukos has called for the share sale to be blocked, arguing that its Yugansk oil unit was auctioned off against its will in 2004.