Statoil Inks Deal in Murmansk Region of Russia

A letter of intent on technical and economic cooperation in the Murmansk region was concluded by Statoil on August 18th with the local county authorities for this part of northwest Russia.

Signed at Hammerfest in northern Norway, the deal reflects a shared grasp of the need for a systematic approach to local and regional development of oil and gas operations.

The agreement, which runs to the end of 2008, covers activities which relate both to the Barents Sea and to the Murmansk area itself.

"Both sides have a shared interest in strengthening our level of activity in this region," says Henrik Carlsen, head of Statoil's commitment to the Barents region.

"At the same time, we both want to stimulate further cooperation."

Statoil has ambitions to extend its activities in the Barents Sea and north-west Russia.

For their part, the Murmansk authorities want to boost the regional economy by encouraging future development and investment in their county.

The letter of intent lays the basis for a collaboration program which will include the delivery and marketing of automotive fuels.

In addition come such areas as delivery of liquefied petroleum or natural gas (LPG/LNG), activities related to exploration and production, and supplier development programs.

The deal also embraces cooperation on oil spill response, health, safety and environmental work and various environmental programs in Murmansk county.