BP and Rosneft join forces for Russian oil exploration
BP and Rosneft signed an agreement today to create a joint Russian oil and gas exploration venture in which BP will invest up to US $300 million.
The document was signed in St Petersburg by Rosneft CEO Igor Sechin and the President of BP Russia, David Campbell.
The venture, called Yermak Neftegaz LLC, will focus on the exploration of two areas of mutual interest in the Yenisey-Khatanga and West Siberian basins. Combined, the sites cover an area of roughly 260,000 square kilometres.
Rosneft will have a 51 percent stake in Yermak Neftegaz, with BP controlling the remaining 49 percent.
Campbell said in a statement: “This agreement and creation of a new joint venture reinforces BP’s commitment to our strategic investment in Russia and our long term partnership with Rosneft. In the current low oil price environment we continue to look for opportunities for future growth.”
Rosneft is majority-owned by the Russian government, though BP is the oil major’s largest minority shareholder with a near 20 percent stake.
Rosneft’s subsidiaries will drill the first wells at the deposits in Yenisey-Khatanga and West Siberia. The exploration works are due to begin next winter.
Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.