Russia's Rosneft continues work on deal with Morgan Stanley

MOSCOW: Russian oil company Rosneft is continuing work on a deal to buy Morgan Stanley's oil-trading unit, RIA news agency quoted an official at the state-run company as saying.

"Work on the deal is ongoing," the official, who was not identified by RIA, was quoted as saying.

Three sources close to Rosneft have told Reuters that Rosneft could back out of the deal because Western sanctions make it virtually impossible to finance day-to-day operations.