Teton Petroleum plans to acquire interest in Russian-American JV

By OGJ editors

HOUSTON, May 29 -- Teton Petroleum Co., Denver, signed an agreement to acquire the Anderman/Smith Overseas Inc. interests in LLC Chernogorskkoye in western Siberia. Anderman/Smith is an affiliate of St. Mary Land & Exploration Co., Denver.

LLC Chernogorskkoye, created to develop Chernogorskkoye oil field in Russia's Tyumen region, produces 8,500 b/d of oil (OGJ, Sept. 13, 1993, p. 27).

The Anderman/Smith interests comprise 50% of a joint venture with TNK Nizhnevartovsk, a subsidiary of Sidanco Oil Co. Sidanco and Tyumen Oil Co. (TNK) are being incorporated into a new company, TNK-BP, by BP PLC and two Russian investor groups (OGJ, May 5, 2003, p. 34).

Teton declined to disclose the purchase price and terms pending final due diligence. The agreement calls for a series of payments beginning in June 2003, and closing is anticipated in September 2003.