Beijing, September 3, 2015--In the presence of Chinese President Xi Jinping and Russian President Vladimir Putin, the Silk Road Fund concluded a framework agreement on the acquisition of a 9.9% equity stake in the Yamal liquefied natural gas (LNG) project in Russia from its largest shareholder, Novatek.
The Yamal project is Silk Road Fund's first investment in Russia as well as its first investment in the oil and gas sector, marking the Fund's commitment to playing a positive role in the all-round strategic partnership of coordination between China and Russia and in international energy cooperation and development.
The Yamal project is located in Russia's Yamal Peninsula and is an integrated project aimed at exploration, development, liquefaction, transportation and sale of natural gas. Novatek, France's Total and China National Petroleum Corporation currently own 60%, 20% and 20% stakes, respectively, with a joint total investment of over US$ 10 billion. After the signing of this framework agreement, Silk Road Fund will carry out further consultations with Novatek to work out specific provisions of the share purchase agreement.
As a medium to long-term investment fund, the Silk Road Fund aims to uphold its investment philosophy of openness and inclusiveness, mutual benefit and win-win result, operate according to market practices, in a professional way and by international standards, steadily promote investment and financial cooperation between China and other countries and regions, and facilitate common development and prosperity.