PJSC “Rosneft” and the China Beijing Gas Group Company Limited closed the deal for the sale of 20% shares of OJSC Verkhnechonskneftegaz. The price of the stake amounted to about $1.1 billion, as per “Rosneft” message.
“Chinese company acquires a share in one of the largest gasfields in Eastern Siberia with developed infrastructure and access to ESPO (east pipeline). Rosneft, in turn, receives the possibility of entering the promising domestic gas market in China including end-user with the help of swap supplies of gas. Taking into account the decision of the authorities of the PRC on the transfer of power generation in Beijing from coal to gas and the rapid transition of vehicles in China to natural gas, the deal opens up broad prospects for “Rosneft” gas business in the Chinese market”, – stated in a press release.
In addition, Rosneft and Beijing Gas are considering options for the development of comprehensive cooperation in Eastern Siberia and the Far East involving the exploration of hydrocarbons, field development, production and sales of gas.