What’s not to like about Rosneft? The Russian company is one of very few majors worldwide capable of extracting oil cheaply, increasing production volumes and generating oodles of cash in the process. Output should rise by about 5 per cent this year and next with no acquisitions, putting Rosneft on a par with Brazil’s Petrobras, investors’ favourite emerging market growth story.

Yet Rosneft has traded more or less sideways since listing in July 2006. In euro terms, its market capitalisation has fallen. Far from keeping pace with the likes of Petrobras and Petrochina (both also state-controlled), it has moved roughly in line with Repsol. Rosneft’s valuation multiples – similar to ConocoPhillips – suggest a mature integrated company struggling to grow the top and bottom line.