Arctic cooperation lies at the heart of the Rosneft/BP deal

[Kss]

The partnership between Rosneft and BP could become the first project to successfully produce major volumes of oil in the Arctic, which would give the companies experience and comparative advantage over competitors.

Valdaiclub.com interview with Clifford Kupchan, Director, Europe and Eurasia, Eurasia Group

The exchange of shares between Rosneft and BP is widely regarded as the first step of strategic partnership between the largest Russian oil company and one of the world's energy leaders. What can be expected from this partnership?

The deal demonstrates growing potential for synergies between reserve-hungry international oil companies and advanced technology-hungry national oil companies. In this case, the synergy could serve as a platform for a broad and productive partnership.
BP is one of the world’s leaders in advanced energy technologies and management of cutting-edge projects. Its reputation took a substantial blow from the Gulf oil spill; it will need to successfully resolve that issue and move forward to other projects. This alignment is a major step forward, and should help BP get back on track.

Rosneft has entered a partnership that offers it access to top quality project management experience and technology. The company is already a Russian industry leader, and if this deal extends to a range of global projects, it would put Rosneft on the path to becoming a major global company.

The full version of the interview was published on valdaiclub.com

 

[MKULTRABOY]

I remember seeing information that Russia was determined to prove that much of the arctic shelf was geographically and technically part of Russia, did anything become of this?

 

[Albert Di Salvo]

I remember seeing information that Russia was determined to prove that much of the arctic shelf was geographically and technically part of Russia, did anything become of this?

The Russian claims are still pending.