Rosneft attracts consortium of Indian companies to participate in Taas-Yuryakh Neftegasodobycha project

MOSCOW, March 16. /TASS/. Russia’s top oil producer Rosneft (acting by the wholly owned subsidiary RN-Razvedka i Dobycha), Oil India, Indian Oil and Bharat Petroresources signed a legally binding share sale agreement related to a 29.9% participatory share in Taas-Yuryakh Neftegasodobycha, Rosneft reported Wednesday. "The document provides for the entry of the Indian companies' consortium into the joint venture (JV) established by Rosneft and BP on the basis of Taas-Yuryakh Neftegasodobycha. Rosneft will retain a majority stake in the JV. The transaction will be closed after set of condition precedents are accomplished and Rosneft’s Board of Directors approval is obtained," the report said. The document was signed by Rosneft Chairman of the management board Igor Sechin, Oil India Limited Chairman of the board of directors Upendra Singh, Indian Oil Corporation Chairman of the board of directors Balasubramanian Ashok and Bharat Petroresources Limited Managing director Raji Kumar in the presence of the Indian Minister of Petroleum and Natural Gas Dharmendra Pradhan. According to the report, attracting strategic investors will give additional momentum to the development of Srednebotuobinskoye field, one of the largest oil and gas condensate fields in East Siberia, which currently produces about 20,000 barrels of oil per day. The JV also plans to create the infrastructure for further exploration and development of the reserves in the region. "The joint venture with our Indian and British partners allows to make the most of the technological, resource and commercial potential of all of the JV’s participants. Joined efforts of Rosneft, BP, Oil India, Indian Oil and Bharat Petroresources allow a significant acceleration of the Upstream projects’ implementation by virtue of increasing JV financial potential as well as open new prospects for marketing the East Siberian hydrocarbons," Igor Sechin was quoted as saying. According to Dharmendra Pradhan, Russia is India’s longstanding and time-tested partner. "I am happy, that India and Russia have high levels of understanding and cooperation in almost all areas of the bilateral relationship. We are committed to work together to further strengthen the India-Russia relations in the hydrocarbon sector," the minister said. Rosneft’s subsidiary Taas-Yuryakh Neftegazodobycha is the holder of oil production licenses for the Srednebotuobinsk oil and gas condensate deposit, which is situated in Russia’s Yakutia, 160 km north of the ESPO crude pipeline. The field’s reserves under Taas-Yuryakh Neftegazodobycha’s С1+С2 licensed areas total 167 mln tons of liquid hydrocarbons and 180.5 bln cubic meters of gas. In November, 2015 Rosneft announced the completion of the transaction to sell a 20% stake of Taas-Yuryakh Neftegazodobycha LLC to the British BP. The joint venture between Rosneft and BP is expected to continue further development of the Srednebotuobinskoye oil and gas condensate field. The JV will also undertake the development of suitable infrastructure for further exploration and development of the region’s reserves, Rosneft said. Read more