Repsol and the petroleum company Alliance Oil are now ready to formalize the creation of a joint company valued around 800 million euros. The new company will serve to reinforce the Spanish firm?s exploration and production capacities in Russia.
According to statements from the financial director of Alliance, Angelika Adieva, the deal should be complete by late 2011.
Other sources consulted on the deal assure that negotiations are going smoothly and unfolding as planned. Repsol will invest 200 million euros in the deal and put up another 200 million in order to buy shares in the new company. Alliance will contribute operating oil wells and new sections of land destined for further exploration and valued at 400 million euros
