Kharyaga partners might have to cut spending
Regional authorities in the Nenets Autonomous Okrug together with the federal Ministry of Energy intend to push for a cut in 2009 spending in the Kharyaga oil project.
In a recent meeting, Nenets AO Governor Igor Fyodorov and Deputy Head of the Energy Ministry Stanislav Svetlitsky agreed that the financial crisis should result in reduced spending in the oil field development, Regnum reports. The Kharyaga consortium – Total, StatoilHydro and the Nenets Oil Company – has adopted a 403.6 million USD project budget for 2009. The Kharyaga project is one of three Russian petroleum fields operated on the principles of a production sharing agreement. That commits Russian federal authorities to party reimburse the field partners’ project spending. The Kharyaga field is located in the oil-rich Nenets Autonomous Okrug. It has reserves of about 160 million tons of oil.
