UAE’s Mubadala Petroleum and the Russian Direct Investment Fund, RDIF, announced on Thursday the creation of a joint venture with PJSC Gazprom Neft to develop several oil fields in the Tomsk and Omsk regions of Siberia (northeast of Russia). Mubadala Petroleum, a wholly-owned subsidiary of Mubadala Investment Company, Mubadala, and RDIF, the sovereign wealth fund of Russia, will acquire a 49 percent equity stake in LLC Gazpromneft-Vostok, the operator of the fields. Mubadala Petroleum will hold a 44 percent interest and RDIF will hold the remaining 5 percent interest. Completion of the transaction is subject to customary regulatory and internal approvals. The deal was announced at the St. Petersburg International Economic Forum (SPIEF). Mubadala Investment Company has acquired a 44 percent stake worth at least $271 million in the oil subsidiary of Gazprom, the Russian company said. Proved and probable reserves of hydrocarbons in the fields are about 40 million tons (approx. 300 million barrels). The Russian oil subsidiarys combined production was at 1.64 million tons in 2017. Dr Bakheet Al Katheeri, CEO of Mubadala Petroleum, said: "This investment marks a further step in our long-term growth strategy and sees Mubadala Petroleum’s entry into Russia." "Through this new partnership with RDIF and Gazprom Neft, one of Russia’s leading operators, we will not only share but also further build on our expertise and capabilities in oil and gas while adding significant oil production to our existing oil and gas portfolio," he said. As for Kirill Dmitriev, CEO of RDIF, he said: "RDIF and Mubadala Petroleum investment in a joint venture with Gazprom Neft brings the experience and expertise of our Middle East partners to the Russian oil and gas sector. RDIF, Mubadala Petroleum and Gazprom Neft see this project as the first step in creating a consortium to pursue further significant investments in the sector." The Chairman of Gazprom Neft, Alexander Dyukov, also stated that the company has vast experience in setting up joint ventures with international partners. “But for the first time one of the largest investment funds of the UAE has invested in the Russian assets of Gazprom Neft. "This transaction is of great importance, not only for our company, but for the whole industry," he added.