UPDATE 1-Russia prepares to tap global debt market with two euro-denominated Eurobonds

(Adds details on Eurobond issues, background)

MOSCOW, Nov 10 (Reuters) - Russia is placing two sovereign euro-denominated Eurobonds, a financial market source said on Tuesday, after the finance ministry announced it picked three state-run banks as organisers for a first Eurobond issue this year.

Russia plans to issue one Eurobond with a maturity of seven years and the other with a maturity of 10 or 12 years, the market source said.

Russia is tapping the global debt market for the first time since 2019 as its previous plans to raise $3 billion in Eurobonds this year were first thwarted by the COVID-19 pandemic and then by increased risks of Western sanctions, prompting Moscow to focus on borrowing at home.

The finance ministry said on Tuesday it had chosen state-run VTB Capital, Gazprombank and Sberbank CIB as organisers for the Eurobond.

Finance Minister Anton Siluanov said last month Russia was considering a euro-denominated Eurobond before the year-end, stressing that the potential sale will depend on the outcome and consequences for Moscow of the U.S. presidential election.

Russian markets and the rouble welcomed the victory of Joe Biden, with the Russian currency posting its biggest one-day gain against the greenback since November 2016 the day after the vote.

Russia, which last tapped the Eurobond market in 2019, is looking for extra sources of funding to make up a budget shortfall caused by lower oil prices and the COVID-19 pandemic. (Reporting by Andrey Ostroukh, Elena Fabrichnaya and Darya Korsunskaya; Additional reporting by Alexander Marrow, editing by Ed Osmond)