At the moment, the JV is only between Rosneft and the British giant, which holds the remaining 49% stake in the project.
In a press conference in Moscow Alekseyev said, “Rosneft plans to invest about 16% of its stake into the Sakhalin-5 project. [We have] the right to attract funds from outside creditors, and [JV partner] BP may support the company by providing guarantees.”
“[And], under an agreement with BP, the foreign company will finance all geological exploration work [on the project],” he added.
The Sakhalin-5 project includes the Kaigan-Vasyugan, East Shmidtovsky, Yelizaveta and Khanguzinsky blocks. It has been estimated the total reserves of the blocks amounts to 783 million tonnes of oil and 432 billion cubic metres of natural gas.
The project is estimated to cost between US$3-US$5 billion.
