PAO Novatek and PAO Gazprom Neft created a joint venture to develop the North-Vrangelevskiy license area in Russia’s arctic region.
The transaction, which saw Novatek acquire a 49% participation interest in OOO Gazpromneft Sakhalin owning a geological survey and an exploration and production license for the area, was concluded as part of the Saint-Petersburg International Economic Forum June 4. The deal builds on a joint Arctic development agreement signed by the companies in June 2019.
The companies intend to conduct exploration work on a parity basis at the license area, which lies in the eastern part of the East Siberian Sea and the western part of the Chukchi Sea in 20-90 m water depth.