MOSCOW, August 21, 2012: Itera, one of Russia's leading independent producers of natural gas, has agreed a strategic venture with Russian oil giant Rosneft to jointly develop their gas fields in the gas-rich Yamalo-Nenets autonomous region in the Russian Arctic.
Under the key terms of the deal Rosneft brings a group of gas deposits under license into the existing Itera Russian holding entity, which will now be operated as a combined venture together with the majority of Itera's existing gas producing and distribution assets in Russia. The value of the transaction has not been disclosed. The JV company will be Russia's third largest gas producer, with Rosneft owning a 51% share and Itera holding 49%.
Following the signature earlier this year of a Strategic Cooperation Agreement, which set forth the overall transaction structure and rules, the parties proceeded to completion of the deal in early August. Morgan Lewis assisted Itera throughout this intense several-month period to completion, including negotiation and drafting of a number of transaction documents regarding the JV company governance and financing.
The Morgan Lewis team included partners Roman Dashko, Dina Kzylkhodjaeva, and Jon Hines, counsel Elena Savrasova and associates Alexander Marchenko and Dmitry Tochkin in Moscow, and associate Nick Nigam in London.