August 30, 2008

Gazprom and StatoilHydro to jointly develop Shtokman

RIA Novosti reported that Gazprom and Norway's StatoilHydro signed an agreement on the joint development of the Shtokman gas and condensate deposit in the Arctic.

Gazprom has so far invited France's Total to take part in the ambitious USD 30 billion project to develop the gas field in the Russian sector of the Barents Sea, with estimated gas reserves of 3.7 trillion cubic meters. The field will supply the Nord Stream pipeline from Russia to Germany, being built under the Baltic.

Under the deal, Norway's StatoilHydro will receive a 24% share in the project while Total and Gazprom will have 25% and 51%, respectively, the Russian energy giant said.

Mr Alexei Miller CEO of Gazprom said "The agreement signed today opens a new page in cooperation with the united company StatoilHydro. We have gigantic gas reserves on the shelf of the Barents Sea while our partners from Norway possess good experience in gas production and transportation in extreme conditions in the north. Our combined efforts will guarantee successful work in the Arctic."