Chevron, Rosneft Black Sea Oil Deal Dependent on Tax Relief
This article is for subscribers only.
Chevron Corp. and OAO Rosneft’s plan to drill for oil in the Russian Black Sea hinge on a request for government tax breaks, according to a copy of their initial drilling agreement obtained by Bloomberg News.
The final agreement is conditional on the group gaining assurances of “fiscal relief” from the Russian government “to ensure the economic viability of the project,” according to the document. The two sides aim to finish negotiations by the end of March and start drilling at the end of next year. Chevron will have a 33.3 percent stake in the venture.