Chinese Industrial Group To Buy Bankrupt Russian Oil Producer.
China’s Xinjiang Sanbao Industrial Group is to purchase the bankrupt Tomskgeoneftegaz LLC, a small oil production company in the Tomsk region, for about ₽4 billion (US$51.2 million). Sanbao’s investments are expected to partially cover creditor claims after reaching a deal with the main creditor, the Kazakhstan collection agency Eagle LLP.
According to its website, Xinjiang Sanbao was established in 1992 and operates across the energy, chemicals, agriculture, and logistics sectors. The group implements projects in Central Asia with subsidiaries in Kazakhstan and Uzbekistan and participates in China’s Belt and Road Initiative. Its total import-export volume stands at US$12 billion.
Tomskgeoneftegaz holds licenses for the Kontorovichskoye and Sokonvarskoye fields in the Tomsk region. It was projected that in 2024, following additional exploration and field geophysical surveys, oil production (without investment in new well construction) would reach 46,200 tonnes solely through implementing measures aimed at enhancing reservoir recovery rates. With planned investments, the Kontorovichskoye field’s output should reach 77,000 tonnes in 2025. It is planned that production will eventually grow to 396,800 tons. The Tomsk region is in Western Siberia, north of Kazakhstan.
Source: Russiaspivottoasia