Venezuela, Russian Consortium Gear Up for Orinoco Operations


Orinoco Heavy Oil Belt
(Click to Enlarge)

Venezuela's President, Hugo Chavez, has confirmed that state-run Petroleos de Venezuela (PDVSA) is gearing up with a Russian consortium to commence operations in the Orinoco Heavy Oil Belt, reports Dow Jones.

Moreover, the consortium will participate in the latest licensing round of Orinoco fields, thereby securing what industry insiders predict will be a significant position in ongoing and future project developments within the oil-rich region.

"The consortium will begin operations in the Orinoco region," Chavez told local media. "We just signed the official accord with Russia in Vienna."

The Russian consortium will consist of Lukoil Holdings, TNK, OAO Rosneft and OAO Gazprom, in joint cooperation with Venezuela's oil giant PDVSA, the Dow Jones report stated.

At OPEC's meeting in Vienna this past Sunday, Venezuela's Oil Minister, Rafael Ramirez, also reported that his country reached an agreement with Russia to form a consortium which will operate in the Junin 6 block of the Orinoco region. "[The Russian companies] can enter all above-water activities in the joint venture with PDVSA," Ramirez revealed to reporters prior to OPEC's meeting.

Additionally, Ramirez noted that the accord signed by the two countries is an amendment to an existing cooperation agreement for exploration and production activities, which stipulates that an investment of $6 billion will be needed for the Junin 6 block's development.

The Junin 6 block in the Orinoco Petroleum Belt is estimated to have a production capacity of 200,000 barrels per day of crude, according to the Venezuelan oil minister.

Related Companies
 Company: Exxon Mobil Corporationmore info


 - Exxon Fined for Russia Sanctions Violations Under Tillerson (Jul 20)
 - Big Oil Sees Salvation in Gas, But What If It's a Wrong Bet? (Jul 18)
 - ExxonMobil Says Will Drop Discussions Over Indonesia's East Natuna (Jul 18)
 Company: Lukoilmore info


 - Lukoil Finds Oil at Iraq Well (Feb 22)
 - Lukoil: CEO, VP Sell $34 Million Worth Of Shares (Dec 30)
 - Sources: Russia's Lukoil Appoints New VP For Sales And Supplies (Dec 27)
 Company: OAO Gazprommore info
 - EU Court Rejects Polish Bid To Halt Opal Pipeline Deal, Verdict In 2019 (Jul 21)
 - New UK Listing Rules Set to Attract State Companies Beyond Aramco (Jul 17)
 - Hungary Commits to Russia Gas Route as Poland Looks to US (Jul 7)
 Company: Total S.A.more info
 - Total, BP Unit, YPF Boost Investment in Argentina's Vaca Muerta (Jul 18)
 - Big Oil Sees Salvation in Gas, But What If It's a Wrong Bet? (Jul 18)
 - S.Korea's Hanwha Total Says Naphtha Cracker Shut After Lightning Strike (Jul 17)
 Company: ConocoPhillipsmore info


 - ConocoPhillips to Sell Barnett Assets for $305 Million (Jun 29)
 - ConocoPhillips To Lay Off 300 In Canada After Cenovus Deal (May 4)
 - ConocoPhillips Posts Surprise Loss On Higher-Than-Expected Costs (May 2)
 Company: Chevron Corporationmore info
 - Mexico Delays Next Oil Auction to Let Huge New Find Sink In (Jul 17)
 - White House Is Said to Be Unlikely to Restrict Venezuelan Crude (Jul 7)
 - Oil Producers' Cost-Cutting Swept Away by New Price Decline (Jun 30)
 Company: Rosneftmore info
 - New UK Listing Rules Set to Attract State Companies Beyond Aramco (Jul 17)
 - Diplomat: Russia's Rosneft Plans To Open Mozambique Office (Jul 13)
 - Cyber Attack Hits Oil Giant And Banks In Russia And Ukraine (Jun 27)
 Company: PDVSAmore info


 - Court Orders PDVSA to Allow Sale of Oil at Sovcomflot's Request (Jul 18)
 - Venezuela's PDVSA Guarantees Investor Security Amid Uncertainty (Jul 10)
 - White House Is Said to Be Unlikely to Restrict Venezuelan Crude (Jul 7)
 Company: TNKmore info
 - TN-K Concludes Drilling in Ky. (May 17)
 - TN-K Completes Drilling 5 Additional Wells (May 5)
 - TN-K Completes Drilling on Kentucky Wells (Apr 15)
Events  SUBSCRIBE TO OUR NEWSLETTER

Our Privacy Pledge
SUBSCRIBE


Most Popular Articles


From the Career Center
Jobs that may interest you
Load Planner/ Dispatcher Frac Sand
Expertise: Dispatcher|Project Management
Location: Mansfield, TX
 
Project Engineer
Expertise: Electrical Engineering|Instrument & Controls Engineer|Project Management
Location: Deer Park, TX
 
Land GIS Spatial Analyst - Mineral Land
Expertise: Contracts Engineer|Geologist|Lease Analyst
Location: Denver, CO
 
search for more jobs

Brent Crude Oil : $48.06/BBL 2.51%
Light Crude Oil : $45.77/BBL 2.17%
Natural Gas : $2.97/MMBtu 2.30%
Updated in last 24 hours