Lukoil, Total form JV for tight-oil pilot in Western Siberia

Russia’s OAO Lukoil and France’s Total SA have formed a joint venture for a pilot project for exploration and development of tight-oil reserves in the Bazhenov play in Western Siberia.

Total holds 49% and Lukoil, 51%. The agreement finalizes the memorandum of understanding signed by the two firms in December 2013.

The JV will assess the technical feasibility of developing the tight-oil potential of the Bazhenov formation initially on four licenses covering 2,700 sq km in the Khanty-Mansi autonomous district.

The companies said that seismic acquisition will start this year. Exploration drilling will follow in 2015.

Total will contribute its Lyaminskiy 3, Vostochno-Kovenskiy, and Tashinskiy licences to the venture, while Lukoil will add the Galyanovsky license.

“Total’s entry into the Bazhenov play, one of the world’s largest shale oil formations, reinforces our position in nonconventional hydrocarbons where the group has developed significant experience with its numerous projects,” said Total Chairman and Chief Executive Officer Christophe de Margerie.

The companies are not the first to form such a partnership. In late 2013, OAO Rosneft and ExxonMobil Corp. formed a joint venture as well for a pilot project for development of tight-oil reserves in Western Siberia (OGJ Online, Dec. 17, 2013). Those companies areas of interest are the Achimov and Bazhenov formations.

Total has been present in Russia for more than 20 years. In 2013, the group’s equity production was 207,000 boe/d. This production comes from onshore Kharyaga field, which Total operates with 40%, and through Total’s share in Novatek, which produces more than 10% of Russia’s gas output.

In addition, Total and Novatek are partners in the Yamal LNG project in the Yamalo-Nenets autonomous district and in Termokarstovoye gas-condensate field, which are both currently under development.

Related Articles

INTERNATIONAL BRIEFS

01/01/1990 WESTCOAST ENERGY INC., Vancouver, B.C., agreed to buy the utilities and propane business of Inter-City Gas Corp. (ICG), Winnipeg, Man., for $720 mi...

OWNERSHIP QUESTIONS CAN STYMIE DEVELOPMENT OF COALBED METHANE

01/01/1990 Although the technology exists for commercial recovery of coalbed methane, production has been hindered because of the legal quandary as to ownersh...

OIL FLOW RISING IN E. CHINA REGION

01/01/1990 Production is building from an oil producing area in the lower reaches of the Yangtze River in eastern China's Jiangsu Province. The northern J...

GAS EXPLORATION FANS OUT MIN ARKOMA BASIN

01/01/1990 Gas exploration is heating up in the South Central Arkoma basin's pre-Pennsylvanian formations. Several operators are targeting Siluro-Devonian...

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