Rosneft, PDVSA unit to form Orinoco JV

Rosneft and a subsidiary of Petroleo de Venezuela SA have signed an agreement to form a joint venture to develop heavy oil resources in Venezuela’s Orinoco belt.

The Russian company will hold a 40% interest, and Corporacion Venezolana del Petroleo (CVP) will hold 60% in the venture formed for the Carabobo-2 project.

The venture will develop resources estimated at 40 billion bbl of heavy oil on the Carabobo-2 North and Carabobo-4 West blocks, covering 342 sq km.

Work envisioned under the venture includes exploration and development and construction of ground facilities and pipelines. An upgrader is planned.

According to Rosneft, production will peak at more than 400,000 b/d.

Rosneft is to pay CVP a two-part bonus totaling $1.1 billion and offer it a loan of $1.5 billion.

The companies also signed a confidentiality agreement providing Rosneft access to geological data on blocks off Venezuela for possible future cooperation.

Related Articles

BP plans to exit Utica shale

05/01/2014

BP America reported that it will not proceed with development of its nearly 100,000 acres of leasehold in the emerging Utica shale in Ohio.

Madagascar: OMV farms into onshore blocks

04/30/2014 OMV AG reported it will acquire 35% participating interest in Madagascar onshore Blocks 3109 and 3111 from Tullow Oil PLC, which will retain 65% an...

Bakken field production reaches 1 billion bbl mark

04/28/2014 Citing data from IHS, Continental Resources Inc. reported that Bakken field has surpassed 1 billion bbl of cumulative light, sweet crude oil produc...

Stone discovers oil in deepwater Cardona South well

04/28/2014 Stone Energy Corp., Lafayette, La., encountered more than 275 ft of net oil pay in three separate sections of the deepwater Cardona South well on M...

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected