Novatek to Buy Stake in Nortgas for $1.38B

Printer Friendly Version
Email this Page

Russia's largest independent gas producer OAO Novatek has agreed to buy a 49% stake in gas-producer Nortgas for $1.38 billion, Novatek said in a statement Tuesday.

Nortgas holds the hydrocarbon production license for the Severo-Urengoyskoye field, located in the Yamal-Nenets autonomous district and in close proximity to Novatek's existing production, transportation and processing infrastructure, Novetek said. That field produced 3.1 billion cubic meters of natural gas in the first nine months of this year.

Novatek will purchase the stake from R.E.D.I. Holdings, and the deal will close by the end of the year, the company said.

Russian state-controlled gas giant OAO Gazprom owns 51% of Nortgas.

"The ability to acquire a significant asset such as Nortgas is consistent with our overall strategy to expand our reserve base and raise our production profile in our core region of operations," said Novatek Chief Executive Leonid Mikhelson.
 

Copyright (c) 2012 Dow Jones & Company, Inc.

Printer Friendly Version
Email this Page

WHAT DO YOU THINK?

Post a Comment Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.

Related Companies
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE



Most Popular Articles

From the Career Center
Jobs that may interest you
Account Manager - Completions (Houston)
Expertise: Business Development
Location: Houston, 
 
Account Manager - Completions (Denver)
Expertise: Business Development
Location: Denver, 
 
Business Development Specialist South Central Area
Expertise: Business Development|Sales & Marketing
Location: Dallas, TX
 
search for more jobs

Brent Crude Oil : $63.59/BBL 2.54%
Light Crude Oil : $59.47/BBL 1.95%
Natural Gas : $2.83/MMBtu 0.71%
Updated in last 24 hours