OREANDA-NEWS. January 26, 2012. When the Department of Subsoil Use of the Republic of Bashkortostan (Bashnedra) tallied results of auctions yesterday for the right to geological exploration, prospecting, surveying, and production of hydrocarbons, JSOC Bashneft was recognized the winner of the Elansk and Znamensk-1 subsoil blocks.

One-time payments by Bashneft for Elansk and Znamensk-1 are 24.43 million rubles and 186.45 million rubles, respectively.

The Elansk subsoil block is estimated to hold 1.775 billion tons of C3 recoverable oil resources. The Znamensk-1 subsoil block is put at 341,000 tons of C1 and 264,000 tons of C2 recoverable oil resources. Znamensk-1 is a continuation of the Znamesk field that Bashneft is developing.

"These new acquisitions are in line with the company’s strategy to broaden the resource base in its key region of business," noted Bashneft Vice President, Geology and Production Yuri Krasnevsky. "Fulfillment of large-scale exploration programs in the republic will enable Bashneft to achieve the midterm production level it has planned-15 million tons per year."