NOVATEK announced on December 19, 2017, that its joint venture Arcticgas won the bid for a geological survey, exploration and production license for the Osenniy subsoil area located in the Yamal-Nenets Autonomous Region (YNAO).
The license area contains estimated hydrocarbon resources of 4,411 million barrels of oil equivalent according to the Russian resource classification.
The license term is 25 years and the auction resulted in a one-time payment for the subsoil use in the amount of RR 1.4 billion rubles.
The Osenniy license area borders Arcticgas’ Samburgskiy license area and expands the company’s hydrocarbon resource base in the Nadym-Pur-Taz region of YNAO.
The company considers this new license acquisition to complement its significant long-term projects to increase deeper-layer hydrocarbon production.
NOVATEK´s CEO Leonid Mikhelson said: «The acquisition of the Osenniy license area supports our recently announced long-term strategy of increasing our natural gas and gas condensate production within reach of the Unified Gas Supply System as well as our goal of increasing our exploration activities. The new license area is part of our strategy to drill deeper into the liquids-rich formations to ensure we fully load our processing facilities to maximize risk-adjusted margins for many years to come».
To read the news in Russian.