Advertisement

Norway's Statoil eyes Kazakh reserves

STAVANGER, Norway, March 31 (UPI) -- Norwegian energy company Statoil said it was set to establish a joint company with KazMunayGas to explore for hydrocarbons in the Caspian Sea.

Statoil and KazMunayGas signed a heads of agreement contract to explore the hydrocarbon potential of the Abay block in the north of the Caspian Sea.

Advertisement

The companies will set up a company to serve as the operator of the project, Statoil said in a statement.

The Norwegian company will give its Kazakh partners financial and technical assistance to build, own and operate a rig for work in the region.

"This agreement marks an important milestone in Statoil's re-entry into Kazakhstan and I am very pleased that we have strengthened our partnership with KazMunayGas," said Tim Dodson, executive vice president for exploration at Statoil, in a statement.

Exploration work entails seismic surveys and drilling of one exploration well.

The Abay block is about 40 miles off the coast of Kazakhstan in shallow water.

Latest Headlines

Advertisement
Advertisement

Follow Us

Advertisement