OREANDA-NEWS. Rosneft and General Electric signed a long-term cooperation program.

The document involves construction plan of joint ventures for production of marine, oil and gas, and electrical equipment to ensure timely construction and commissioning of production facilities.

In particular, Rosneft and GE will continue their cooperation in developing ship-building projects of the Zvezda Shipbuilding Complex in Vladivostok. Cooperation between the companies provides for construction of a plant for ship steerable thrusters manufacturing as well as an enterprise, producing marine electrotechnical equipment.

As a part of their cooperation in the area of hydrocarbon production technologies, Rosneft and GE will proceed with launching wellhead equipment and flowing wellhead equipment manufacturing. The companies will also cooperate on a pilot project for remote monitoring and control of equipment at the assets of Ryazan Oil Refining Company.

Also, the program envisages further cooperation in the area of LNG production. GE and Rosneft’s subsidiary NGK Itera will continue to work on the project of founding Russia's first small-scale LNG plant based at Bratskekogaz company.

Rosneft, GE, and Transmashholding also signed a Letter of Intent providing for the local production of GE V250 marine diesel engines in Penza for further supply to Zvezda Shipbuilding Center. The delivery of the first units to Rosneft is expected in early 2018.The engines will be serviced at Zvezda's facilities.

Commenting on the program signing, Rosneft Chairman of the Management Board, Igor Sechin said: “The implementation of the program signed today with one of the global technology leaders ,signifies that our partnership is entering a new stage – industrial cooperation – which will enable us to meet the buoyant demand being formed by the Russian fuel and energy sector with the potential to jointly enter global markets.”

Jeff Immelt, GE Chairman and CEO, said: "We continue to see long-term development opportunities in Russia, including in sourcing from Russian manufacturers for our global businesses. Today, we are also pleased to be strengthening our partnerships with Rosneft and Transmashholding. This is a great example of GE working with leading Russian companies to tackle some of the region’s most technically intensive projects".