Oil India buys 50 percent stake in Russian oil block

Top Stories

»	49% Indian startups now from tier 2, 3 cities: Jitendra Singh
»	'India ranks 3rd in global startup ecosystem & number of unicorns'
»	Tripura exported over 9K tonnes of pineapples in 2 years
»	CPI inflation eases to 6.71% in July, IIP falls to 12.3%
»	Rupee depreciates 12 paise to close at 79.64 against US dollar

IANS | 05 Jul, 2014
State-run explorer Oil India (OIL) Friday said it has completed the acquisition of 50 percent stake in an oil block in Russia for USD 85 million.

OIL said it has "completed the acquisition of 50 percent shareholding in WorldAce Investments Ltd (WorldAce), a Cyprus-based wholly-owned subsidiary of PetroNeft Resources Ltd (PTR), which owns License 61 in Tomsk Oblast region in Western Siberia, Russia."

The acquisition marks OIL’s entry into Russia and is a major addition to the company’s overseas portfolio.

“The total commitment from OIL will be USDM 85 million including USD 45 million for development capex. The effective date of the acquisition is January 1, 2014,” the company said in a statement.

License 61, located on the eastern side of the Ob river in Russia's oil-bearing Tomsk Oblast region, contains 7 oil fields and over 25 identified prospects and leads. Current daily production from the licence is around 2,100 barrels of oil.

OIL had last month signed an MoU with Russia's Gazprom for joint pursuit of exploration opportunities across the globe as well as collaborate on liquefied natural gas (LNG).