LUKOIL OVERSEAS COMPLETES SALE OF COLOMBIAN ASSET
LUKOIL Overseas, an OAO LUKOIL subsidiary, has made a deal to sell its interest in the Condor exploration and development project in Colombia.
Omega Energy Colombia is acting as the buyer. The ongoing activities include transfer of assets and liabilities, final settlements and provision of information about the deal to the Colombian authorities.
LUKOIL Overseas entered the project in April of 2002, having signed an agreement for exploration and development of the Condor block with the state company Ecopetrol. The stakes in the project are: LUKOIL, 70%, and Ecopetrol, 30%. The Condor block is situated in the Andes foothills (Boyaca department) 70 kilometers south-east of Bogota, the capital of Colombia. The total area of the block is approximately 3.1 square kilometers.
All the obligations under the project have been fulfilled, thus providing unique experience in such areas as deep drilling and field development in a remote mountainous area, organization of safety of petroleum operations and also implementation of large-scale social programs.
The decision to sell the stake was taken due to optimization of the company's asset portfolio.