Lukoil & Gazprom form Caspian Sea Joint Venture

Gazprom and Lukoil have agreed to form a joint venture to develop the northern part of the Caspian Sea - Centralnoye. Gazprom says the respective agreement was reached over the meeting of Gazprom board chairman Alexei Miller and Lukoil president Vagit Alekperov held this week. The parties went through Gazprom and Lukoil participation in investment projects, natural gas sales projects, discussed the progress in preparing Gazprom/Lukoil agreement on oil and gas cooperation.

Earlier this year V. Alekperov signed the agreement to set up a joint venture with Kazakh KazMunaiGaz to develop Kazakh part of the North Caspian. At that time, A. Miller was authorized by Turkmen President Saparmurat Niyazov to develop Turkmen sector of the Caspian Sea. Additionally, Lukoil is taking part in three Kazakh oil and gas projects. In particular, the company has 15% in Karachaganak gas condensate project, 50% in Turgay Petroleum joint venture. In tandem with BP, Lukoil owns 5% Tengizshevroil international consortium and 12.5% Caspian pipeline consortium.