ExxonMobil and Rosneft join forces for Arctic offshore exploration
Interesting news from Russia today.
ExxonMobil and Russia’s state-owned oil company, Rosneft, have signed a Strategic Cooperation Agreement that paves the way for joint exploration and development of hydrocarbon resources in the Russian Arctic, in southern Russia, as well as the United States and other countries throughout the world.
The agreement, signed Wednesday morning by Rosneft President Eduard Khudainatov and ExxonMobil Development Company President Neil Duffin in the presence of Russian Prime Minister Vladimir Putin, calls for about US $3.2 billion to be spent funding exploration of East Prinovozemelskiy Blocks 1, 2 and 3 – an area of about 126,000 square kilometers (30 million acres) in water depths ranging between 50 and 150 meters (165 feet and 500 feet) – in the Kara Sea and in the waters off Black Sea resort town of Tuapse.
The companies are also planning to create an Arctic Research and Design Center for Offshore Developments in St. Petersburg to be staffed by Rosneft and ExxonMobil employees. The center will develop new technology to support the joint Arctic projects, including drilling, production and ice-class drilling platforms, the companies claimed.
Interestingly enough the agreement with ExxonMobil comes just months after Rosneft’s $16 billion partnership deal with BP was scuttled by a shareholder revolt.
