ExxonMobil is joining fellow energy supermajors in discontinuing operations on Russia-based projects in response to the war in Ukraine.
Exxon said Tuesday that it is complying with international sanctions against Russia and will begin the process of exiting the Sakhalin-1 oil and gas project, for which it acts as chief operator, off the country’s eastern coast.
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“In response to recent events, we are beginning the process to discontinue operations and developing steps to exit the Sakhalin-1 venture,” Exxon said in a statement.
“As operator of Sakhalin-1, we have an obligation to ensure the safety of people, protection of the environment and integrity of operations,” it continued, explaining, “Our role as operator goes beyond an equity investment. The process to discontinue operations will need to be carefully managed and closely coordinated with the co-venturers in order to ensure it is executed safely.”
The company also said it will not invest in new oil and gas developments in Russia.
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Several of Exxon’s competitors, including BP, Shell, and Norwegian giant Equinor, announced their plans to exit Russia-based oil and gas projects in response to Russian aggression and resultant sanctions, putting what could potentially amount to billions of dollars on the line.
