Russia's Gazprom Neft has signed a series of new joint venture agreements as it looks to diversify exploration risks in new developments, bringing in western majors Shell and Repsol, and fellow state-run outfit Zarubezhneft.

It has signed a memorandum of understanding aimed at creating a joint venture with Shell and Repsol to explore the Leskinsky and Pukhutsayakhsky blocks on the Gydan Peninsula.

Gazprom Neft said the trio plan to have detailed terms in place by the end of this year before singing an agreement to establish the joint venture. The Russian oil producer said the deal is expected to be closed in 2020 once all necessary corporate and regulatory approvals have been obtained.

It is expected that Gazprom Neft will have a 50% interest once the transaction has closed, with Repsol and Shell each holding 25%.

The Leskinsky and Pukhutsayakhsky blocks are adjacent to each other and cover a total area close to 4000 square kilometres.

According to initial Russian official estimates, Leskinsky could hold possible geological resources of 73 million barrels of oil and 115 billion cubic metres of gas.

However, Gazprom Neft declared after the acquisition of the asset last year that its geologists believe its reserves may eventually exceed current estimates “many times” over.

At Pukhutsayakhsky, authorities have estimated in-place possible resources at 9 million barrels of oil and about 20 Bcm of gas.

Gazprom Neft and Shell also last week signed initial documents concluding a sale and purchase agreement on the Anglo-Dutch supermajor’s entry into the Russian player's wholly owned Meretoyakhaneftegaz subsidiary.

Meretoyakhaneftegaz holds an exploration and development licence for the Meretoyakhinskoye field in West Siberia's Yamal-Nenets region.

Gazprom Neft, headed by Gazprom Neft chief executive Alexander Dyukov, has also promised to transfer several blocks in the region, such as Tazovsky, North Samburgsky and West Yubileiny, to the joint venture after the transaction closes, which is expected in late 2019 or early 2020.

It added that the joint venture will assume control over total potential in-place reserves of about 8 billion barrels of oil.

Gazprom Neft also signed an agreement to form a joint venture with Zarubezhneft covering exploration of the Salymsky 3 and Salymsky 5 blocks in West Siberia's Khanty-Mansiysk region.

The venture is due to gather almost 700 square kilometres of 3D seismic data and start exploration drilling this year, with exploration activities to continue until the end of 2023.

Gazprom Neft said it will hold a 51% stake in the venture, with Zarubezhneft holding 49%.

Additionally, Gazprom Neft and Russian independent Novatek have signed a protocol of intentions to create a joint venture to explore new Russian Arctic assets.

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Gazprom Neft brings in trio for exploration drive