GE and OJSC Rosneft signed a memorandum of understanding (MOU) that lays the foundation for the two companies jointly to evaluate and develop commercial opportunities in oil and gas exploration and production in the Russian Federation.
The agreement calls for a strategic, cooperative relationship that would:
leverage GE Oil & Gas technologies to help Rosneft improve efficiency and yields in its oil and gas exploration and recovery operations, and
explore opportunities to jointly develop, manufacture and sell equipment for use in Russia’s oil and gas industry.
Under the terms of the MOU, GE and Rosneft will form a joint working group to identify the range of potential opportunities for short and long–term opportunities, including equipment for Arctic offshore field development, gas monetization technologies and enhanced oil recovery and difficult reserve development.
GE Oil & Gas has developed technology for increasing gas monetization and recovery efficiency as well as developing fields in the most extreme conditions. GE Oil & Gas has a history of partnering with major oil and gas companies to provide package solutions throughout the oil and gas reservoir life cycle.
GE Oil & Gas, headquartered in Florence, Italy, employs 33,000 people and has operations in approximately 130 countries worldwide, generating more than $14 billion of annual revenue. GE sells advanced technology equipment and services for all segments of the offshore and onshore oil and gas industry, from subsea, drilling and production, LNG, pipelines and storage to industrial power generation, refining and petrochemicals.
Rosneft is the leader of Russia’s petroleum industry, and ranks among the world’s top publicly traded oil and gas companies. The Company is primarily engaged in exploration and production of hydrocarbons, production of petroleum products and petrochemicals, and marketing of outputs. The state holds 75.16% in the Company (through OJSC ROSNEFTEGAZ), while approximately 15% of shares are in free-float.
Rosneft is widely engaged in exploration and production across all key hydrocarbon regions of Russia: Western Siberia, Southern and Central Russia, Timan-Pechora, Eastern Siberia and the Far East. In addition, the Company participates in several exploration projects in Kazakhstan and Algeria.