Rosneft commences well drilling in Artic shelf hinterland

Rosneft commences well drilling in Artic shelf hinterland

Rosneft (MCX: ROSN) has begun drilling of a well in the Northernmost region of the Russian Arctic shelf, drawing praise from President Vladimir Putin.

The Tsentralno-Olginskaya-1 well was tapped in the Laptev Sea using an onshore facility drilling horizontally, and is the first of its kind to be drilled under the offshore area of the Laptev Sea.

In a video call to Rosneft’s operators in the region, Putin said: “We are seeing the start of work to develop a whole oil and gas province, which preliminary data suggest contains a vast quantity of energy resources.

“Horizontal drilling is a complex and high-tech operation. This is just the first well. There is much more work ahead. I would like to wish you good luck and I hope for this undertaking’s success.”

Despite the challenging nature of drilling in extreme regions of the Arctic, Rosneft aim to continue exploration and drilling programmes across the area.

The state-owned oil firm holds around 24 license areas on the Arctic shelf, and estimates that the total area harbours up to 69 billion barrels of oil equivalent.