LUKoil Offers Rosneft Iraq Assets for Arctic Access

Russia’s largest privately held oil company LUKoil has offered state oil major Rosneft its African and Iraqi projects in a swap for Arctic shelf cooperation, LUKoil CEO Vagit Alekperov said on Thursday.

“We have offered them our geological prospecting assets abroad. So far, talks are underway. We have offered them a whole package. If they are interested, we’ll offer them West Africa and West Qurna-2,” Alekperov said on the sidelines of the St. Petersburg international economic forum.

Alekperov said cooperation in Iraq would be possible only after a deal was approved by the local authorities.

Rosneft had previously made an offer on the joint development of 12 Arctic shelf fields to domestic oil companies LUKoil, Bashneft, Surgutneftegas and TNK-BP.

Under existing rules, only companies with over 50 percent state ownership and no less than five years experience working in marine exploration are allowed to develop the Russian continental shelf. Only Rosneft and gas giant Gazprom currently meet these requirements, which has prevented the other companies taking on shelf projects without their participation.


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