Rosneft, Exxon eye Alaska expansion

OAO Rosneft, Russia’s largest oil producer, and Exxon Mobil Corp. said they may expand co-operation in Alaska, Russia’s arctic waters and liquefied natural gas.

Rosneft now has an option to take a 25-per-cent share in the Point Thomson project, a gas condensate deposit, on Alaska’s North Slope. That’s part of the deal signed Wednesday by Igor Sechin, Rosneft’s Chief Executive Officer, and Stephen Greenlee, Exxon’s exploration head, at Russian President Vladimir Putin’s residence outside Moscow.

Rosneft may contribute seven offshore licences gained Wednesday from Russia’s Natural Resources ministry to its arctic venture with Exxon, Greenlee said. Rosneft this month announced it agreed to pay 5.4 billion rubles ($180 million) to the ministry for 12 licences.

Rosneft has formed partnerships with Exxon, Statoil SA and Eni SpA as it looks to explore Russia’s offshore areas and tight oil fields, while also gaining opportunities abroad. Rosneft and Exxon are exploring the Kara Sea and drilling pilot wells on tight oil deposits in Siberia. Rosneft has entered into Exxon projects in Texas and Canada as Rosneft’s board approved expanding a co-operation agreement today.

The companies, which are partners at the Exxon-led Sakhalin-1 project on Russia’s Pacific coast, will study opportunities to liquefy natural gas in Asia.