Rosneft sells minority stake to BP

Russian state-run oil and gas company Rosneft has sold a minority stake in an east Siberian oil production company to BP.

BP will pay an estimated $750 million for a 20 percent stake in Rosneft subsidiary Taas-Yuriakh Neftegazodobycha, creating a new joint venture in east Siberia, according to a statement released by BP today.

The joint venture will enable both companies to develop the Srednebotuobinskoye oil and gas condensate field, which is one of the largest fields in eastern Siberia. The field currently produces around 20,000 barrels of oil per day.

Rosneft and BP have also agreed to jointly explore two additional areas of mutual interest in the west Siberian and Yenisey-Khatanga basins, which cover a combined area of around 260,000 square kilometres.

Any joint ventures that are formed will be 51-percent owned by Rosneft, while BP will have a 49 percent stake in the newly established company.