Lukoil to Invest $1B in Samara-Nafta in Next 5 Years

MOSCOW - OAO Lukoil Holdings, Russia's No. 2 oil producer, will invest $1 billion in the oil firm Samara-Nafta to increase production, Russian news agencies reported Monday, citing a company presentation.

Lukoil acquired Samara-Nafta from Hess Corp. this month for $2 billion as part of a strategy to stabilize and increase oil production. Lukoil has for years fought declining output at its main, Soviet-era fields in Western Siberia.

The investment in Samara-Nafta will increase production by between 5% and 7% over the next five years from 2.5 million metric tons a year, Prime news agency cited the company as saying.

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