Moscow hopes Kiev not to use protests at parliament for escalation in DonbassRussian Politics & Diplomacy October 18, 19:52
Russian journalist and TV host Ksenia Sobchak says she plans to run for presidentRussian Politics & Diplomacy October 18, 19:08
Mariinsky ballet troupe waltzes across America captivating US audiencesSociety & Culture October 18, 18:51
Gazprom says more than half of Power of Siberia pipeline readyBusiness & Economy October 18, 18:23
Ukraine's special forces storming tent camp outside parliamentWorld October 18, 18:18
Vibrant colors of Moscow's autumnSociety & Culture October 18, 18:16
Baltic Fleet ships enter North SeaMilitary & Defense October 18, 18:05
Russia not eyeing branding US media outlets undesirable organizations — prosecutorRussian Politics & Diplomacy October 18, 17:39
Russian and Swiss researchers to explore burial mound in SiberiaSociety & Culture October 18, 17:08
LONDON, January 20. /TASS/. The US oilfield services firm Schlumberger will buy a 45.65% stake in Eurasia Drilling Company (EDC), the largest provider of onshore drilling services in Russia, for $1.7 billion, Schlumberger said in a statement on Tuesday.
Under the deal, the principal shareholders of EDC will take the company private. Upon delisting of the company from the London Stock Exchange, Schlumberger, through one or more subsidiaries, will acquire a minority equity ownership interest of 45.65% in EDC, in exchange for consideration of $22 per share, the statement said.
“The total cost of acquiring this minority interest, including the cost of a call option and various non-competition agreements, is approximately $1.7 billion. The call option will allow Schlumberger, at its election, to purchase the remaining shares in EDC during a two-year period commencing three years from the closing of the transaction,” the statement said.
The transaction is expected to close during the first quarter of 2015, and is subject to customary closing conditions.
The companies announced about the transaction amid US sectoral sanctions against Russia over its stance on the Ukraine crisis, prohibiting, in particular, the use of US deepwater drilling and unconventional deposit development technologies in the Russian oil industry.
Russian Energy Minister Alexander Novak said earlier he did not rule out that western oilfield services companies might sell their production assets in Russia, if they quit the Russian market over the sanctions.
Eurasia Drilling Company was established on the basis of oilfield services assets of Russia’s largest independent crude producer LUKoil. These assets were purchased in 2004 by Russian businessman Alexander Dzhaparidze.