RIA Novosti cited Mr Christophe de Margerie Total head as saying that French energy giant Total and Russia largest state-run oil company Rosneft are discussing a joint project to develop the Shatsky Ridge oil deposit off Russia's Black Sea coast.

He said that "We are discussing various options for geological exploration cooperation with Rosneft, including the Shatsky Ridge project."

Mr De Margerie also said Total was not planning to give up its participation in the giant Shtokman offshore gas field in the Arctic in favor of the Yamal liquefied gas project in northwest Siberia.

He said that "I don't know why we should consider Yamal as a substitute for Shtokman. We continue to maintain our participation in the Shtokman project. He added that Shtokman and Yamal do not compete with each other."

It was earlier reported that Rosneft was negotiating the Shatsky Ridge project with US oil giant ExxonMobil and Italy's Eni.

The Shatsky Ridge covers an area of 8,600 square kilometers and is located in the eastern part of the Black Sea. The field expected resources amount to 860 million tonnes of oil by international classification.

(Sourced from RIA Novosti)