Russia's state-controlled oil company Rosneft said Monday it had signed a strategic partnership agreement with Royal Dutch Shell on the prospective implementation of joint oil and gas projects.
Under the deal signed July 6 in Moscow, Rosneft and Shell plan to carry out joint geological surveys, and produce, refine and sell hydrocarbons. The deal formulates the basic principles for a strategic partnership and creates a basis for the companies' long-term cooperation in Russia and abroad, Rosneft said. “Russia is a strategic growth area for Shell, and we are committed to developing our business in cooperation with Russian companies across the entire range of the energy business. Shell, with its global experience of applying technologies in an integrated way, will complement Rosneft's strengths and experience on the Russian market,” Shell's CEO Jeroen van der Veer said.
Royal Dutch Shell holds a 27.5% stake in the Sakhalin II oil and gas project off Russia's Pacific Coast. The $20 billion project led by Russian energy giant Gazprom is developing the Piltun-Astokhskoye and Lunskoye oil and gas fields, with recoverable reserves of 150 million metric tons (1.1 billion barrels) of oil and 500 billion cubic meters of gas. (rian.ru)