The Iranian state oil company NIOC has given approval for the Russian company OAO Lukoil to take over 25 percent of Hydro's 100 percent stake in the Anaran block in Iran.
The takeover is linked to a cooperation agreement on future projects that was signed by OAO Lukoil and Hydro in February this year.
"We are pleased that the Iranian authorities have approved the transfer," says Morten Ruud, head of Exploration and Production International (EPI).
Hydro's interests in Anaran date back to 2000 when the company signed an agreement with NIOC, which gave Hydro the rights to explore the land-based block Anaran close to the border of Iraq.