To Tap Arctic Oil, Russia Partners With Exxon Mobil
Fri, 05/25/2012 - 03:31 EDT - NPR - National Public Radio (Business News)
Moscow's recent deals with foreign oil companies are designed to maintain Russia as the world's No. 1 oil producer. The biggest deal, with Exxon Mobil, would put billions of dollars toward exploiting vast oil and gas reserves in Russia's Arctic waters.» E-Mail This» Add to Del.icio.us
Russia’s decision to give China a share of prized Arctic exploration licenses as part of a “breakthrough” deal signals how the world’s largest oil and gas producer and the biggest energy consumer are redrawing the global energy map.
By Ry Frank:The oil and gas industry has struggled with a variety of issues over the past five years, but many of the companies continue to post strong numbers and offer great investments. Exxon Mobil (XOM) is the largest at $400 billion, but the appeal lies in its solid dividend and its upcoming exploration deal in Russia.
With TNK-BP, Rosneft overtakes Exxon and PetroChina Co. in output. It will pump about 4.1 million barrels a day this year
OAO Rosneft’s US$55-billion takeover of TNK-BP creates an empire stretching from Russia’s Far East to Venezuela that pumps almost 5% of the world’s crude.
By Income Hunter:Russia is home to immense quantities of natural resources, and that includes a lot of oil and natural gas. From the troubled Caucasian region to the Arctic region in the north, Russia as a country probably has the largest amount of undiscovered oil and natural gas in the world. Under Soviet rule, oil discovery and drilling was exclusively carried out by nationalized oil companies, which were not really the most efficient entities in the world.
Russia and Exxon have reached an agreement that opens the way for oil exploration in the Russian sector of the Arctic Ocean. And it allows the Russians access to projects in other parts of the world, including the United States. David Greene talks to Julia Ioffe, of Foreign Policy magazine who's covering the story in Moscow.