Support The Moscow Times!

Sakhalin-2 Recoups

Gazprom's Sakhalin-2 venture off Russia's Pacific coast with Royal Dutch Shell said its expenses have been recovered and production sharing has begun.

Sakhalin Energy, the project operator, recovered all $24.5 billion of its expenses and is now sharing production profit, the company said in a statement Friday. The federal and regional governments are expected to receive more than $100 billion over the course of the projects life, Sakhalin Energy said.

Gazprom owns 50 percent plus a share of Sakhalin Energy, while Shell holds 27.5 percent. Mitsui and Mitsubishi of Japan own 12.5 percent and 10 percent, respectively.

(Bloomberg)

Read more

The need for honest and objective information on Russia is more relevant now than ever before!

To keep our newsroom in Moscow running, we need your support.