Rosneft acquires Amazon oil blocks from Brazil's PetroRio

Russia's Rosneft has secured a remaining 55% stake in 16 Amazonian oil and gas blocks from Brazilian operator PetroRio.

The US$55mn deal hands Rosneft full control of Solimões basin assets covering 41,500km2, the Moscow-based firm said on Tuesday.

Rosneft added that talks were ongoing with Brazil's state-run oil firm Petrobras to commercialize the resources, most of which lie in remote areas with no access by road or river.

"The acquisition of the remaining interest in the Solimoes project will allow Rosneft Brasil to continue the exploration program in frontier areas, focused on oil opportunities, and advance joint work with Petrobras on the monetization of proven gas resources," Rosneft said in a statement.

"Planning will now start on the commencement of operations before 2015 is out."

The blocks contain 11 oil and gas discoveries with estimated contingent (3C) reserves of 717Mboe, 95% of which is natural gas.

Rosneft said the acquisition would allow the company to develop "synergies" with its operations in neighboring Venezuela.

Launched as a start-up in 2010, PetroRio has been divesting exploration assets in Brazil and Namibia as it focuses on offshore areas already in production.

In July, Brazil's competition regulator Cade approved PetroRio's acquisition of a remaining 20% in the Bijupira and Salema offshore fields from Petrobras.