Rosneft sells 20% share of Siberian producer to BP

MOSCOW -- Rosneft has sold a 20% share of Taas-Yuryakh Neftegazodobycha LLC, its subsidiary, to BP. The joint venture (JV) between Rosneft and BP based on Taas-Yuryakh Neftegazodobycha will continue further development of Srednebotuobinskoye oil and gas condensate field, which is one of the largest fields in eastern Siberia.

The JV will also undertake the development of suitable infrastructure for further exploration and development of the region’s reserves.

The companies’ cooperation within the project will contribute to expanding local infrastructure and boosting the production capacities of these east Siberian fields, one of the key regions of Rosneft’s business.

Rosneft also plans to select a second partner in Taas-Yuryakh Neftegazodobycha, which will have a positive effect on the project’s development in the long term.

Strategic investment

“We see ample potential for the expansion of this project as well as for development of our activities in nearby license blocks,” Rosneft Chairman of the Management Board Igor Sechin said.

“We look forward to working together with our partner Rosneft on this project,” David Campbell, president of BP Russia, 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.”

Taas-Yuryakh Neftegazodobycha, a Rosneft subsidiary, operates Srednebotuobinskoye field, which is located in the Sakha Republic, Yakutia. The field’s reserves under Taas-Yuryakh Neftegazodobycha’s С1+С2 licensed areas total 167 million tons of liquid hydrocarbons and 180.5 Bcm of gas.