GS Global signs oil deal in the United StatesGS Global said yesterday it has signed a contract to invest up to $460 million in the development of oil wells in the U.S. state of Oklahoma for the coming nine years.
The Korean firm, which majors in petrochemical and oil products, signed the contract with Longfellow Nemaha LLC, affiliated with Longfellow Energy, for the purchase of 20 percent of the Nemaha oil fields owned by Longfellow Nemaha.
GS Energy and Fine Partners also agreed to purchase 10 percent each of the Nemaha oil fields owned by Longfellow Nemaha, bringing to 40 percent the total stakes held by Korean firms.
The 170 square kilometers (42 acres) of the Nemaha oil fields, located in the northern Oklahoma, have an estimated 100 million barrels of crude oil.
“This is meaningful in that GS Global has begun to make inroads into resource development projects abroad,” said Chung Taek-geun, president of GS Global.