Russia's top oil producer Rosneft has entered into the project on the development of Shorouk gas block in the Egyptian offshore area (part of Zohr gas field), Chief Executive Officer Igor Sechin said Monday, adding that the deal had been committed to paper. "The source of financing will be found taking into consideration the company's financial responsibility. The deal has been signed, there is a profile of payments and we can say that starting from today we're participating in the project," he said. According to Sechin, Rosneft will also study the proposals made by Egyptian President Abdel Fattah al-Sisi on the company's potential participation in new projects on the development of offshore and onshore blocks. "Egypt's President Abdel Fattah al-Sisi has proposed to consider the company's participation in the development of other offshore and onshore blocks," Sechin said, adding that "Rosneft will thoroughly study the proposals." Sechin also noted that he had passed along a message from Russian President Vladimir Putin to Egyptian President Abdel Fattah al-Sisis on the expansion of trade and economic cooperation and the implementation of a number of energy projects between the countries. Earlier on Monday, Rosneft reported that on December 7, the board of directors had approved the acquisition of a stake in Shorouk from Eni for $2.8 bln. In particular, the board approved the purchase of 30% in the Shorouk concession agreement, as well as the acquisition of 15% in a joint venture, set up by IEOC Production B.V. and Egyptian Natural Gas Holding Company, which is the operator of the project on the stage of development. Rosneft also has an option to acquire 5% in the concession agreement and 2.5% of the joint venture before December 31, 2017. The transfer of shares should take place within one year since the signing of the agreement, full payment should be made not later than May 31, 2018.
