Norsk Hydro ASA on Friday said it was set to partner with Russian natural gas giant Gazprom to develop the vast Shtokman offshore field in the Arctic.
After meeting chief executive Alexey Miller of the Russian state-run group, Norsk Hydro leader Eivind Reiten said they were working out details of a possible partnership.
“Gazprom seems to feel that Hydro can contribute to an efficient development of Shtokman, but it must be underlined that there are a number of questions that need to be clarified, such as the progress plan for the development, ownership stakes and other conditions,” Reiten said.
According to Norsk Hydro, the Shtokman field is believed to have 3 trillion cubic meters (106 trillion cubic feet) of natural gas, making it three times larger than Norway’s North Sea Troll Field, which has about 60 percent of the country’s total natural gas reserves.
Gazprom and its subsidies employ nearly 300,000 people, and stands for about 20 percent of global natural gas production, making it the world’s largest single producer.
Oslo-based Norsk Hydro, with about 36,000 employees, in one of Norway largest companies and has operations if more than 40 countries.