Russian LUKoil launched commercial oil production in the Baltic Sea on Tuesday, close to a site that environmentalists have threatened to protect by suing upon the company.
LUKoil's Kravtsovskoye field is estimated to hold 158 million barrels of crude oil.
LUKoil subsidiary "LUKoil-Kaliningradmorneft, started commercial production at Kravtsovskoye field in the Baltic offshore today.
Green groups have threatened to sue LUKoil over the drilling, which is close to the Curonian Spit, a peninsula which is already at risk from wind and tide.
LUKoil has spent $6 million on environmental protections under the project. Late last year the firm pledged to spend over $1 billion in a four-year drive to make its production in Russia greener.
Total capital investment in the project is estimated at $270 million while net sales of crude will generate a total $450 million over the project's life.
