The blocks are located approximately 50-150 km (31-93 miles) offshore south of Magadan city, the city of Far Eastern region of Russian Federation, and covers an area of 28,082 km² with a water depth of approximately 100 to 200 meters (328 to 656 feet). The Offshore Magadan area including the blocks is a frontier area which is expected to have largely unexplored oil and gas potential.

Location of Magadan blocks. Click to enlarge.

Once the final agreements is executed, Inpex and Rosneft will establish joint venture companies, with INPEX holding 33.33%, to carry out exploration works in the blocks, and the companies will proceed with the subsequent development and production of the hydrocarbon in the blocks, once it is successful.