Lukoil and Bashneft have founded new joint venture for geological exploration in Nenets autonomous area
Lukoil and Bashneft have founded on a parity basis the Vostok NAO Company, a new joint venture for geological exploration at 7 remote sites in the Nenets autonomous area. Their total reserves can be compared to the reserves of the Trebs and Titov deposits (140 million tons) already developed by Bashneft-Polyus, a subsidiary of the partner companies.
The new parity joint venture was registered in April in the settlement of Iskateley in the Zapolyarye district of the Nenets autonomous area, they told on Tuesday at the working meeting of P. Oboronkov, the CEO of Lukoil-Komi (Lukoil’s subsidiary operating in the Timano-Pechora oil and gas province), and the Governor of the Nenets autonomous area I. Koshin. Bashneft confirms that the corporate procedures on foundation of the new enterprise are at their final stage. The joint venture will be presented in June in Naryan-Mar where the public will be informed about the production plans of the partner companies.
Mr. Oboronkov says that the company has started the realization of the program for the development of its assets in the Nenets autonomous area. The complex project of Lukoil presupposes the development of complicated and remote sites in the region. In spring, the chief of Lukoil, V. Alekperov and I. Koshin signed the cooperation agreement for this year. In autumn, they are going to make a new agreement for 5 years.
Vostok NAO will hold 2 licenses of Lukoil-Komi (acting as a side of the joint venture) for the Northern-Yareyaginsky and Verkhneyangareysky sites, and 5 licenses of Bashneft for the sites of Sabriyaginsky, Yangareysky, Nyarioyakhsky, Savatinsky and Eastern-Padimeysky, Vedomosti writes referring to a source close to the new oil company. He says that the partners bought the assets in autumn 2011 and winter 2012 at the tenders. Lukoil spent 1.8 billion rubles to the purpose, and Bashneft spent 4.8 billion rubles. Lukoil should invest 3 billion rubles more because it’s a parity enterprise.
