OMV to buy share in Russian gas field for $1.85 billion

OMV AG, Vienna, signed an agreement to acquire a 24.99% share in the Yuzhno-Russkoye natural gas field in Western Siberia for $1.85 billion.

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OMV AG, Vienna, signed an agreement to acquire a 24.99% share in the Yuzhno-Russkoye natural gas field in Western Siberia for $1.85 billion.

The transaction with Uniper SE, Dusseldorf, is expected to close by yearend, and involves the acquisition of shares in Russian companies OJSC Sverneftegazprom and JSC Gazprom YRGM Development.

Current production from the field in the Yamal Nenets region amounts to 25 billion cu m/year. The field began commercial production in 2007 (OGJ Online, Dec. 21, 2007; Oct. 2, 2008).

Content Dam Ogj Online Articles 2017 03 Omv Yuzhno Russkoye Map

OMV said the purchase will add 100,000 boe/d of production, bringing the company total to more than 400,000 boe/d. OMV’s share of reserves will be about 580 million boe. OMV said the field will generate attractive cash flows without requiring significant investments.

Uniper has had an ownership share for more than 7 years. Gas from the field is the key resource for the Nord Stream pipeline that supplies Germany directly with Russian gas.

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