Total Buys 49% Stake In Novatek Subsidiary
June 24 2009 - 10:41AM
Dow Jones News
France's Total SA (TOT) has agreed to buy a 49% stake in a unit
of Russian gas producer OAO Novatek (NVTK.RS) to jointly develop a
gas field on Russia's northern Yamal peninsula, Novatek said in a
statement Wednesday.
Earlier Wednesday, the two companies agreed to jointly develop
the Termo-Karstovoye field located in Yamal.
Total will buy a stake in Terneftegas LLC, a wholly-owned
subsidiary of Novatek, which holds the license for the
Termo-Karstovoye field, Novatek said without giving details about
the price.
Under the deal, the two companies have two years to complete
exploration works and prepare a field development plan. A final
investment decision will be taken in 2011.
The field holds reserves of 47.3 billion cubic meters of gas and
10.3 million tons of gas condensate under Russian ABC1+C2
classification.
Company Web site: www.novatek.ru
-By Jacob Gronholt-Pedersen, Dow Jones Newswires; +7 495 937
8445; jacob.pedersen@dowjones.com