#AceFinanceNews – MOSCOW – April 19 – April 19 – Russia’s oil and gas monopoly Gazprom has disclosed the brand name by which crude oil, produced at the Prirazlomnaya rig inside the Arctic circle, will be known in the world markets.
The announcement came shortly after the first tanker with ARCO (Arctic Oil) left the platform carrying an oil load purchased by one of Europe’s major energy companies.
The marketing of the new brand was held among downstream companies in North Western Europe in the first quarter of 2014. As production at Prirazlomnaya grows, part of the crude will begin to be provided on the basis of long-term contracts.
“Gazprom has opened a new stage in the development of the Russian oil industry. The first consignment of Prirazlomnaya oil is on the way to the customers. From this moment on the investments in the project are beginning to pay back,” Gazprom CEO Alexei Miller said. “Today’s event is of great importance to strengthening Russia’s positions in the world oil market. We have enhanced the flexibility and reliability of oil supplies to practically any point on the globe,” he said.
The Prirazlomnoye oil deposit lies under the Pechora Sea 60 kilometres away from the coastline (the depth of the sea in this area is 19-20 meters). Recoverable oil reserves are estimated at 71.96 million tonnes. The design output – about six million tonnes a year – will be achieved after 2020.
Gazprom began oil production in the area from the off-shore ice-resistant stationary platform on December 20, 2013. More than 300,000 tonnes of oil from this deposit is to be shipped this year.
OJSC Gazprom Neft is the project’s operator, and Gazprom Neft Shelf (a 100-percent Gazprom-owned company) is the subsoil user.
Russian and Oil News