GE and Rosneft have inked a memorandum of understanding (MOU) to identify, examine and develop commercial opportunities in oil and gas exploration and production in Russia.

The companies under the MOU will form a joint working group to identify promising short term and long term opportunities, develop and manufacture equipments for Arctic offshore fields, develop technologies for gas monetization and increase oil recovery and develop difficult reserves.

GE vice chairman and president and GE Energy CEO John Krenicki said the MOU underscores the company’s interest in discussing, jointly with the Russian government and Russian oil and gas companies, the technology needs of the Russian oil and gas industry today and in the future, identifying key areas of cooperation to create value for the Russian Federation and GE.

"GE Oil & Gas has developed a comprehensive portfolio that we believe can meet the challenges of the unique Russian oil and gas environment," Krenicki said.

The MOU will allow GE Oil & Gas technologies to assist Rosneft in improving its efficiency and results in oil and gas exploration and recovery operations.

The agreement will also allow the joint working group to develop, manufacture and sell equipment for use in Russia’s oil and gas industry.

GE Oil & Gas has developed technology for increasing gas monetization and recovery efficiency as well as developing fields in the most extreme conditions.