Rosneft and Indian ONGC Videsh Limited during the Eastern Economic Forum signed the agreement of sale and purchase of 15% in Vankorneft and shareholders agreement in regard of the enterprise management. The document was signed by the Chairman of Rosneft Management Board Igor Sechin and Managing Director of ONGC Videsh Limited Narendra Verma.
Parties intend to complete the transaction upon getting necessary regulatory and other approvals.
ONGC Videsh will have two places in the Board of Directors of Vankorneft. Rosneft will create an operator company that will allow more efficient management of both Vankor field and other Company’s licenses in this region.
The agreements on considering acquisition of minority share in Vankorneft by ONGC Videsh were reached on 8th of July 2015 during the meeting between the President of the Russian Federation Vladimir Putin and Prime Minister of the Republic of India Narendra Modi in Ufa.
Commenting on the signed document Igor Sechin said: “Collaboration in such a large-scale project will allow establishinga brand new level of strategic cooperation between Rosneft and ONGC Videsh. This will accelerate the development of our partnership, in other large-scale oil and gas upstream projects in the region. Such a short time between reaching the agreements and signing the document testifies to the high level of credibility between us and the Indian partners which guarantees efficient joint work”.