• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 23 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 2 days The United States produced more crude oil than any nation, at any time.
  • 7 days e-truck insanity
  • 3 days How Far Have We Really Gotten With Alternative Energy
  • 6 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 5 days James Corbett Interviews Irina Slav of OILPRICE.COM - "Burn, Hollywood, Burn!" - The Corbett Report
  • 6 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 7 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 7 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 10 days Bankruptcy in the Industry
Southeast Asia Is Betting Big on a Green Future

Southeast Asia Is Betting Big on a Green Future

Southeast Asian countries are heavily…

Morgan Stanley Hikes Its Summer Oil Price Forecast to $94

Morgan Stanley Hikes Its Summer Oil Price Forecast to $94

Geopolitical tensions and tighter supply…

Russia Lets Japan Keep Its Stake In The Sakhalin-1 Oil Project

Russia has decided to let Japanese firms keep their stake in the Sakhalin-1 oil project in Russia’s Far East as Moscow reshuffles ownership of domestic oil and gas projects after a mass exodus of Western firms following the Russian invasion of Ukraine.   

“The decision is very significant for stable energy supplies to our country over the medium to long term,” Japan’s Chief Cabinet Secretary Hirokazu Matsuno said on Tuesday, as quoted by Japan Times.

Early this month, the Japanese government asked the Japanese companies that participated in the original consortium to retain their stakes in the new entity that will operate the project.

Russian President Vladimir Putin signed a decree to change the ownership of Sakhalin-1 last month, with the state setting up a new entity to manage the project. Previous shareholders such as Japan’s SODECO consortium were offered the chance to retain their stakes.

SODECO, or Sakhalin Oil and Gas Development Co, comprises Itochu, the conglomerate, Marubeni, and Japan Petroleum Exploration Co. The Japanese government has a 50-percent stake in the consortium.

“The Sakhalin-1 is extremely important for Japan's energy security as it is a valuable source outside of the Middle East,” said trade minister Yasutoshi Nishimura in early November, as quoted by Reuters.

The Russian government authorized on Monday a transfer of a 20% stake in the new Sakhalin-1 operator to India’s ONGC Videsh Limited and 30% to SODECO, Russian news agency TASS reported.

Previously, the Sakhalin-1 oil project was operated by ExxonMobil but Russia removed the U.S. supermajor from the operatorship position earlier this year, amid the company’s own total pullout from Russia.

Exxon had a 30-percent stake in Sakhalin-1 but in October Putin signed a decree with which a new entity was set up to manage the operations of the Far East oil and gas project. The decree allowed the Russian government to distribute the stakes in the project and kick out foreign partners if they saw fit.

Exxon was on its way out anyway, however. Shortly after Russian troops entered Ukraine in February, Exxon said it was going to pull out from Russia and make no more investments there.  

ADVERTISEMENT

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News