IOCL, OIL & BPRL pick up 29% stake in Rosneft's refinery Tyngd in Russia

An Indian consortium - comprising Indian Oil Corporation Limited (IOCL), Oil India Limited (OIL) and Bharat PetroResources Limited (BPRL) – on March 16, 2016 signed definitive agreements to acquire 29.9 percent stake in Tyngd from LLC RN Upstream, a wholly-owned subsidiary of Rosneft Oil Company, Russia’s national oil company. The acquisition is subject to relevant board, government and regulatory approvals and is expected to close by September 2016.
 
Rosneft Oil Company holds 80 percent shares while BP Plc (UK) holds 20 perecnt shares in Tyngd through their respective subsidiaries. Tyngd is currently producing 20,000 barrels oil per day (BOPD) with expected peak production of 100,000 BOPD by 2021.
 
In addition, a heads of agreement (HoA) was signed for evaluation of acquisition of 23.9 percent in the CJSC Vankorneft by the consortium of IOCL, OIL and BPRL with Rosneft Oil Company. CJSC Vankorneft owns Vankor Field and North Vankor license. Vankor is Russia’s second largest field by production and accounts for 4 percent of Russian production and currently producing oil at a peak level of approximately 440,000 BOPD.
 
Additionally, an MoU was signed between Rosneft and the consortium of IOCL, OIL & BPRL for joint evaluation of certain other assets of Rosneft in Russia.