Spanish oil firm Repsol YPF SA (REP) and Russian gas giant OAO Gazprom (GAZP.RS) are in talks about possible joint production of liquified natural gas, or LNG, on Russia's northern Yamal Peninsula, Gazprom said Wednesday.

During a meeting at the World Gas Conference in Buenos Aires this week, Repsol's Chief Executive Antonio Brufau and his counterpart at Gazprom Alexei Miller discussed "possible joint projects on international energy markets, in particular the LNG project on Yamal," Gazprom said.

Gazprom plans to start a feasibility study for an LNG plant on the Arctic peninsula early next year. The company has invited international energy majors such as Royal Dutch Shell PLC (RDSA), ConocoPhillips (COP) and Exxon Mobil Corp. (XOM) as minority partners to jointly develop gas projects in the country's Arctic region.

Company Web site: www.gazprom.ru

-By Jacob Gronholt-Pedersen, Dow Jones Newswires; +7 495 937 8445; jacob.pedersen@dowjones.com