Russian authorities today refused to give Yukos an extension on paying its $3.4 billion tax bill as bailiffs started to move in on the beleaguered oil firm.
Finance Minister Mr Alexei Kudrin said the firm had enough assets to sell to cover the bill but it was not clear whether he expected Yukos itself or bailiffs to raise the money.
The legal battle against Yukos, which many believe is driven by the Kremlin trying to crush the political ambitions of the oil firm's main owner, Mr Mikhail Khodorkovsky, has led to fears that one of Russia's most profitable firms could be driven into bankrupcty.
But that could undermine Russia's economy, analysts say.
"There is no question of an extension. The shareholders and menagement have assets which they can sell. Of course, a certain delay can be given according to law to sell these assets. No other decisions are needed here," Mr Kudrin told reporters.
He said the oil company - which employs more than 100,000 people and accounts for a fifth of Russian oil output - had sufficient assets to pay the tax bill, which was due to have been settled on Wednesday night.
The issue has also raised questions over whether Russia, the world's second-biggest oil exporter after Saudi Arabia, would be able to maintain output. The country's top energy official ruled out any impact.