Rosneft Hikes Stake in NOCBy Joseph R. Fonseca
Rosneft and Lukoil signed a package of legally binding documents regarding Rosneft’s acquisition of 20% share in the National Oil Consortium LLC (NOC). Due to this deal the share of Rosneft in the charter capital of NOC will increase to 80%, with the remaining 20% owned by Gazprom Neft.
Consolidation of the consortium management resulting from the deal will allow to substantially improve operational control and have positive impact on the Junin-6 project implementation efficiency.
Commenting on the deal, Rosneft Head, Chairman of the NOC Board of Directors Igor Sechin said: "Rosneft consistently increases the volumes of cooperation with Venezuela. This year, for the first time, the Company obtained the right for commercialization of Venezuelan oil. Venezuela owns the most prospective resource base in the worlds’ oil industry. Therefore, taking into account the future decline of shale production in USA and Canada, it is Venezuelan oil that can become the substitutional element for the receding volumes of those markets”.