IOC, partners in talks to buy stake in Russia's Vankor field

State-owned Indian Oil Corp (IOC) and its partners are in talks to buy 49 per cent stake in Russia's Vankor cluster oilfields to consolidate their presence in the energy-rich Arctic region. IOC, Oil India Ltd and Bharat PetroResources Ltd (a unit of Bharat Petroleum Corp. Ltd or BPCL) is looking at buying a stake in Suzunskoye, Tagulskoye and Lodochnoye fields — collectively known as Vankor Cluster, sources privy to the development said.

ONGC Videsh Ltd (OVL), the overseas arm of stateowned Oil and Natural Gas Corp (ONGC), is also interested in the fields.

Rosneft, Russia’s national oil company that owns the fields, wants to retain a majority stake and is keen to sell only up to 49 per cent stake. In case OVL is accommodated, the entire 49 per cent stake would have to be split between the Indian companies.

OVL may possibly take 26 per cent in proportion of the stake it bought in the main Vankor oilfield. OILIOC-BPRL may take 23.9 per cent stake in line with its holding in the main Vankor field.

Vankorneft, a subsidiary of Rosneft, is developing the Vankor oil and gas condensate field, situated in the northern part of Eastern Siberia.

In 2013, Vankorneft was chosen as an operator on development of new fields of Vankor cluster — Suzunskoye, Tagulskoye and Lodochnoye fields, located close to the Vankor field.