Natural Gas
Russia's Rosneft closes Zohr gas field deal for $1.13B
- Reserves in Zohr, the largest gas field in the Mediterranean Sea, exceed 850 billion cubic meters

Russia's Rosneft closed a deal to acquire a 30 percent stake through a concessions agreement with Italian company Eni for the development of the Zohr field, the largest gas field in the Mediterranean Sea, Rosneft announced on Monday.

The company said that the cost of the acquisition is $1.13 billion.

Through the agreement, Rosneft has become a participant in the project to develop the largest deepwater gas field offshore Egypt jointly with Rosneft's other world majors and strategic partners – Eni with a 60 percent stake and BP with a 10 percent stake.

The oil company said it has also refunded its share of past project costs to Eni.

"Having closed the deal to acquire a stake in the concession agreement for the development of the Zohr gas field, Rosneft has entered the world class project. It opens up opportunities for the company to reinforce its position in the promising and strategic region, broadens potential of our trading division and enhances our mutually beneficial cooperation with Egypt," Igor Sechin, Rosneft's CEO said.

Eni discovered the Zohr gas field at the shelf of Egypt in 2015. Reserves at the field exceed 850 billion cubic meters.

On December 12, 2016, during a working visit to Cairo, Sechin informed Egyptian President Abdel Fattah el-Sisi of the agreement for Rosneft's acquisition of a stake in the concession from Eni for the development of the Zohr field and for 15 percent in the project's operator Petroshorouk, a joint parity enterprise of Eni and EGAS.

By Murat Temizer

Anadolu Agency

09 Oct,2017