(Reuters) – Trafigura Group, a global commodities trader, has been in talks with private equity firms to obtain additional financing. This is because soaring commodities prices can trigger margin calls within the commodities sector. Bloomberg News reported Tuesday.

According to the report, Trafigura was subjected to margin calls totaling billions of US dollars over the last week.

The increased margin calls – essentially requests to deposit extra funds with brokers – come amid supercharged volatility in raw materials prices after the invasion of Ukraine by commodities-export giant Russia sparked sanctions from the United States and it allies.

Trafigura had held talks with Blackstone (NYSE:) Inc for an investment of around $2 billion to $3 billion in preference shares or a similar hybrid instrument, the report https://bloom.bg/361wwhh said, adding that the talks, however, failed and no deal was made.

Reuters reached Blackstone for comment but was not able to reach him.

The report also said Trafigura approached Apollo Global Management (NYSE:) Inc, BlackRock Inc (NYSE:) and KKR & Co (NYSE:) to seek new funding.

Trafigura sent an email to Reuters stating that “as part of a long-term strategy for diversifying our sources of financing, we have been building relations with alternative capital providers.” “We engage regularly with other capital providers to discuss equity and debt options across the business.”

Apollo, KKR, and BlackRock declined to comment.

Trafigura, which announced it has raised a $1.2 million revolving credit facility through a consortium bank to help increase its financing to meet the rising energy and commodity prices earlier in this month.