OREANDA-NEWS. Rosneft consolidated 100% of Taas-Yuriakh Neftegazodobycha LLC into Rosneft subsidiary RN-Vostochnaya Sibir LLC.

The consolidation of Taas-Yuriakh Neftegazodobycha will boost the efficiency of Srednebotuobinsk oil and gas field development, which is one of the largest undeveloped fields in East Siberia, and will serve as foundation to create infrastructure for further exploration and development of the region's reserves. The control over Taas-Yuriakh Neftegazodobycha will enable Rosneft to book Srednebotuobinsk field reserves and to increase the Company's production volumes.

Commenting on the transaction, Igor Sechin, Rosneft President, said: "East Siberia is a strategic region for the Company. Srednebotuobinsk field is another world class greenfield in Rosneft portfolio. Production has started October 2013 and its volumes are expected to reach 1 mln tonnes in 2014 and increase to over 5 mln tonnes per annum starting 2017. Crude oil supplies from the field will go to Rosneft refining and petrochemical units in the Far East as well as to China as part of long-term agreements. Taking into account the fact that crude oil supplies from Taas-Yuriakh Neftegazodobycha LLC will go to Rosneft refineries and petrochemical units as well as to Tianjin refinery that is now being designed, the Company has begun negotiations to bring in a strategic investor with whom preliminary agreements have been reached. Moreover, development of Srednebotuobinsk field gas reserves offers the increase in gas production thus helping the Company meet the objectives of its gas strategy".

Taas-Yuryakh Neftegazodobycha holds production licenses for the Central and Kurungsk blocks of the Srednebotuobinsk oil and gas condensate field. The field C1+C2 reserves stand at 134 mln tonnes of liquid hydrocarbons and 155 bcm of gas.