LUKoil set to expand oil and gas cooperation with Iran
Iran has proposed that Russia's largest independent crude producer LUKoil [RTS: LKOH] expand its participation in oil and gas projects in the Islamic Republic, the LUKoil press office said on Thursday.
LUKoil made this statement following a meeting between the company's chief executive officer, Vagit Alekperov, and Iranian Deputy Oil Minister Hossein Noghrehkar Shirazi in Moscow on Wednesday.
Alekperov said there were a lot of promising oil and gas blocks in Iran, and the company would study the Iranian proposal.
LUKoil said in October that possible U.S. sanctions against Iran could threaten the company's Anaran oil project in the Islamic Republic.
The Anaran project is a joint undertaking involving Norwegian StatoilHydro (75%) and LUKoil Overseas (25%). The Anaran oil block has oil reserves of 2 billion barrels.
LUKoil said that as its investments in the project exceed $20 million, the company could face difficulties, and that similar restrictions would affect other companies operating in Iran above this investment limit.
Iran has so far been subjected to two rounds of UN Security Council sanctions for its refusal to halt its nuclear program, which many countries suspect is geared toward weapons production. The United States plans to impose sanctions against international energy companies conducting business in Iran / RBC /