LUKoil Buys 25% in West Africa Offshore Bloc

Russia’s largest independent crude producer LUKoil has acquired a 25 percent stake in a geological exploration, development and production project in the Gulf of Guinea off Sierra Leone in West Africa, LUKoil said in a statement on Wednesday.

LUKoil has bought the stake in the project to explore and develop the SL-4B-10 offshore block from Canada’s Talisman Energy, the project operator. The project’s other participants are Malaysia’s Petronas with a 25 percent stake and Britain’s Prontinal Ltd with 20 percent.

The SL-4B-10 offshore block covers an area of about 850 square miles (2,200 sq km) and is located at a depth of 300-9,000 feet (100 to 3,000 meters). It borders on the SL-05-11 deepwater offshore bloc where LUKoil is the exploration and development work operator.

LUKoil is seeking to expand internationally to boost its reserves and make up for declining output in Russia.

 

Leave a comment