JOINT VENTURE SET UP BY THREE COMPANIES PLANS TO SIGN PSA WITH TURKMEN GOVERNMENT
JV Zarit, a company formed by Itera, Zarubezhneft and Rosneft, plans to sign a production sharing agreement with the Turkmen government on December 12 to develop blocks 28, 29, 30, and 31 on the Turkmen shelf of the Caspian Sea.
The board of directors of Zarit held its first meeting on November 6 in Moscow to discuss the results of work of 2003 and the company's business plan in the framework of this JV. Members from Itera, Zarubezhneft and Rosneft management attended the meeting.
After the PSA is signed, Zarit plans to start operating at the fields where it holds exploration and development licenses. Besides, the project's participants decided to invite Turkmenistan and Iran, which they say would significantly speed up the implementation of this project, Itera's press-service reported.
It has not yet been decided in what way Turkmenistan and Iran will be asked to participate. In particular, an option of giving them a 10%-15% share in Zarit or other forms of their participation is being discussed currently. It is not clear yet, whether it will be a consortium with Zarit as operator, or Zarit will be in charge of the entire project.
Itera, Rosneft and Zarubezhneft established Zarit to develop several blocks on the Turkmen shelf of the Caspian. Rosneft and Gazkhiminvest (a subsidiary of Itera) each hold 37% of Zarit and Zarubezhneft has the other 26%.
(According to information of the press-service of Itera)