Offshore staff

(Moscow) -- A 63% interest in deepwater block CI-205 offshore Ivory Coast has been acquired by Lukoil Overseas from Oranto Petroleum International Ltd., pending governmental approval.

Block Cl-205 covers 2,600 sq km in the Gulf of Guinea 100 km from shore and is 15 km from Baobab oil field.

The PSA is in its second phase which calls for drilling of an exploration well based on seismic data acquired over the past five years.

If hydorcarbons are discovered, the development period is 25 years plus a possible 10-year extension.

7/14/06