Gazprom Neft to buy Malka Oil unit for $118 mln

MOSCOW Dec 1 (Reuters) - Gazprom Neft (SIBN.MM), Russia's fifth-largest oil producer, has agreed to buy a unit of Swedish firm Malka Oil MALK.ST for about $118 million, Gazprom Neft said in a statement on Tuesday.

Gazprom Neft said it and Malka Oil had signed a binding term sheet on the sale of STS-Service to the Russian company.

Gazprom Neft is the oil arm of Russian gas export monopoly Gazprom (GAZP.MM). (Reporting by Robin Paxton, editing by Dmitry Zhdannikov) ((robin.paxton@reuters.com; +7 495 775 1242; Reuters Messaging: robin.paxton.reuters.com@reuters.net))