Itera, a 100% Rosneft subsidiary, and General Electric signed an agreement of intent regarding natural gas processing cooperation at the St. Petersburg International Economic Forum.

The parties agreed to evaluate opportunities for potential cooperation on natural gas processing using GE technology for low-tonnage liquefied natural gas (LNG) production.

In particular, the agreement covers analysis of opportunities to cooperate on establishing LNG production at Bratskecogas assets, as well as potential joint work on deploying GE technology and equipment to boost the company’s efficiency and production capacity.

The development of infrastructure aimed at LNG production will open additional monetization channels for Rosneft’s significant gas reserves and will enable increased efficiency for Itera Oil and Gas Company consolidated assets.

Chairman of Rosneft Management Board Igor Sechin said after signing: “Gas business is one of the priority dimensions of the Company’s business; Rosneft has tripled its gas production in the last two years and we are glad to develop gas processing with such technologically advanced partner as GE”.

Commenting on the agreement signing, Ron Pollett, President & CEO GE Russia/CIS, noted, “GE’s high-tech solutions create opportunities for enhancing productivity and contributing to our partners’ business development. Since 2004, GE has designed, manufactured, delivered, and launched more than 140 cryogenic modules globally, including 11 units for the production of LNG and 130 to liquefy carbon dioxide gas. We are confident that our cooperation with Itera on gas monetization will contribute to the modernization of the Russian oil & gas industry.”

About ITERA Oil and Gas Company

ITERA Oil and Gas Company is one of the largest independent producers and marketers of natural gas in Russia. The company has been developing its own gas production in Yamalo-Nenets Autonomous District since 1998. ITERA was the first private company to commission its gas fields in the North of Russia. Rosneft consolidated Itera in July 2013.

About GE Russia/CIS

GE has been working in Russia for nearly 100 years, bringing global expertise and localizing advanced technology with our strategic partners across power, oil & gas, transportation, and healthcare to solve some of the region’s biggest infrastructure challenges and improve people’s lives. Over 1,500 GE employees are working in Russia/CIS, with regional headquarters in Moscow.

About Rosneft

Rosneft is the leader in gas production among Russian oil companies. Gas production in 2014 amounted to 56.7 billion cubic meters. The recoverable gas reserves under the Russian classification (category ABC1 + C2) are 7.2 trillion cubic meters. Gas production constitutes 19% of the Company total hydrocarbon production.