Lukoil said it has signed a preliminary agreement with Kazakhstan's state energy company to develop the I-P-2 license block in the Kazakh Sector of the Caspian Sea.
Lukoil president Vagit Alekperov signed the Heads of Agreement deal with JSC NC KazMunayGaz chairman Alik Aidarbayev at the 23rd St. Petersburg International Economic Forum on Friday.
The deal calls for the parties to hold negotiations to obtain mineral rights on the block.
At the next stage, the parties will sign a contract for hydrocarbon exploration and production and create a joint venture in charge of operating the block.
The I-P-2 license block is located in 300 to 400 meters water depth, about 130 kilometers from shore.
A number of 2D seismic surveys covering the block area have been acquired in previous years.
Lukoil, which has been operating in Kazakhstan since 1995, participates in the development of the Tengiz, Karachaganak and Kumkol fields, in a joint venture developing the Tsentralnoye field in the Caspian Sea as well as in the Caspian Pipeline Consortium.
Lukoil and KazMunayGaz have together implemented a number of joint projects. In April 2019 the two companies signed an exploration and development contract for the Zhenis block in the Caspian Sea.
