BP has secured a 20% share of an Eastern Siberian gas field joint venture with Rosneft.
The joint venture between Rosneft and BP based on Taas-Yuryakh Neftegazodobycha will continue further development of the Srednebotuobinskoye oil and gas condensate field which is one of the largest fields in the Eastern Siberia.
The joint venture will also undertake the development of suitable infrastructure for further exploration and development of the region’s reserves.
The tie up within the project will contribute to expanding local infrastructure and boosting production capacities of these Eastern Siberian fields, one of the key regions of Rosneft’s business, BP said in a statement.
Rosneft also plans to select a second partner in Taas-Yuryakh Neftegazodobycha, which will have positive effect on the project’s development in the long term.
Commenting on the deal closure, Rosneft chairman Igor Sechin said: “We see ample potential for the expansion of this project as well as for development of our activities in nearby license blocks. We hope for integrated cooperation in the development of Eastern Siberia’s reserves together with our strategic partner and shareholder, BP”.
BP Russia president David Campbell, said: “We believe it will offer us new opportunities to increase productivity of the existing field and to discover new fields.
“The new joint venture reinforces BP’s commitment as a long term strategic investor in Russia”.