Gazprom Neft increases stake in SeverEnergia

15 January 2014

Yamal Development (a 50:50 joint venture between JSC Gazprom Neft and JSC NOVATEK) has acquired a 60 percent holding in Artic Russia B.V. from Italy’s Eni. Artic Russia B.V. owns a 49-percent equity interest in SeverEnergia. Following the transaction Gazprom Neft’s stake in SeverEnergia will increase to 40.2 percent.

Gazprom Neft First Deputy CEO Vadim Yakovlev commented: “With several major projects currently under development in the north of the Yamalo-Nenetsk Autonomous Region, Gazprom Neft continues establishment of a new cluster here that will make a significant contribution to increasing our production to 100 million tons of oil equivalent per year. SeverEnergia is one the projects: the company began commercial production of gas in April 2012, and a 200,000-ton-capacity oil treatment facility completed at the Samburgskoye field at the end of 2013 has allowed oil production to begin.”

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SeverEnergia holds development and production licenses for the Samburgskoye, Yevo-Yakhinsk, Yaro-Yakhinsk and North-Chaselsky fields. The company’s ABC1 and C2 recoverable reserves (Russian classification) stand at 14.3 million barrels (oil equivalent) as at 1 January 2013, including 5.5 billion barrels of liquid hydrocarbons. NOVATEK is Gazprom Neft’s sole partner in the project.

Work on development of the Urengoy, Yaro-Yahinsk, and Samburgskoye fields will continue throughout 2014, and major oil rim development of the SeverEnergia fields will become possible following completion of pilot horizontal drilling, concept development, and completion of the Zapolyarye-Purpe  pipeline.