Temryuksko-Akhtarsky Block

The Temryuksko-Akhtarsky block is located on the shelf of the Sea of Azov off the coast of the Krasnodar region near the Temryuk Bay. In 2003, Rosneft, LUKOIL, and the State Property Fund of the Krasnodar region established a joint venture, LLC Priazovneft Oil Company, to carry out exploration and development of the block. The Temryuksko-Akhtarsky block covers an area of 5,400 sq. km, the sea depth being approximately 10 meters.

Project participation:

• Rosneft — 42.5%
• LUKOIL — 42.5%
• Administration of the Krasnodar region — 15%

Rosneft and LUKOIL finance the project on a parity basis. After the return of all investments income from the block’s development will be distributed among the three partners in accordance with their respective stakes.

The Temryuksko-Akhtarsky block’s five-year exploration program entails shooting 640 linear km of 2D seismic and 185 sq. km of 3D seismic, as well as drilling six exploration wells.

In 2007, the drilling of a directional prospecting and appraisal well at the Novaya structure resulted in the discovery of the Temryuksko-Akhtarskoye field with estimated recoverable reserves of approximately 3.12 mln tonnes (23 mln barrels) of oil under the Russian classification.

Work in 2008 at the block included 520 linear km of 2D seismic and 634 linear km of electrical exploration work, as well as processing and interpretation of the data obtained. A prospecting and exploration well, Gelendzhikskaya-1, was completed but failed to detect any reservoirs with commercial hydrocarbon reserves.

Exploration activities at the Temryuksko-Akhtarsky block