Gazprom Neft reported the first results of a number of public tenders, following its 2009 appointment to develop Iraq's Badra oil field. These public tenders were initiated by Gazprom Neft Badra B.V., a subsidiary of Gazprom Neft established to implement the Badra oil field project.

Gazprom Neft Badra B.V. has awarded a contract, valid until May 2011, to the Arabian Gulf Mine Action Company for mine clearance in the Badra field. The Iraqi Oil Exploration Company ('OEC') has also been awarded the contract for 3D seismic acquisition in the Badra field, which is already underway, and this contract is valid until April 2011. PricewaterhouseCoopers has been appointed by Gazprom Neft Badra B.V. as independent auditor for the Badra oil field project for the period 2010-2013.

In addition, the bidding process is also nearing completion for some other major contracts, including the construction of roads and well pads; a well drilling service; project management of well construction; FEED and the construction of the permanent camp.

"The awarding of these contracts means that this major project is now moving towards the implementation phase. Participation in the Badra oil field development will enable Gazprom Neft to further enhance its position in the international market and help the company achieve its strategic objective to increase oil production by 2020, also due to the projects beyond Russia," commented Boris Zilbermints, Gazprom Neft's Deputy CEO for Exploration and Production.

Tags: Gazprom Neft