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2014-02-19 16:38:00

GAZPROM NEFT COST ESTIMATE RAISED TO $3 B

GAZPROM  NEFT  COST  ESTIMATE RAISED  TO  $3 B

OAO Gazprom Neft increased its estimated costs for the Badra oil field in Iraq to about $3 billion, according to a bond prospectus this month from its parent company. 

The Gazprom Neft-led group is planning to begin oil output at Badra this year and produce 170,000 barrels a day from the field by 2017. The Iraqi government is allowing the group to recoup initial investments, awarding a fee of $5.50 a barrel produced over the 20-year span of the contract.

Gazprom Neft is also investing in projects in Iraq’s Kurdistan region where it plans to start production this year.

More information here.

Tags: GAZPROM, NEFT