28th Feb 2022 19:27
(Alliance News) - Shell PLC on Monday said it will exit its joint ventures with Russian energy giant PJSC Gazprom and also its involvement with the Nord Stream 2 pipeline project, following Russia's invasion of Ukraine.
In particular, Shell will exit its 28% interest in the Sakhalin-II liquefied natural gas facility, its 50% stake in Salym Petroleum Development NV and its 50% interest the Gydan energy venture.
The Salym JV is focused on development in Salym fields in the Khanty Mansiysk Autonomous District of western Siberia, while Gydan is a joint venture between Gazprom and Shell, for the exploration and development of block in the Gydan peninsula, north-western Siberia.
Also, Shell was one of five energy firms which committed to provide financing and guarantees for up to 10% of the estimated EUR9.5 billion cost of Nord Stream 2.
"Our decision to exit is one we take with conviction. We cannot – and we will not – stand by. Our immediate focus is the safety of our people in Ukraine and supporting our people in Russia. In discussion with governments around the world, we will also work through the detailed business implications, including the importance of secure energy supplies to Europe and other markets, in compliance with relevant sanctions," said Chief Executive Officer Ben van Beurden.
Earlier on Monday, oil major BP PLC on Sunday announced its decision to exit its near 20% stake in Russia's oil producer Rosneft.
Shell's shares closed 0.6% lower at 1,988.20 pence on Monday in London.
By Dayo Laniyan; [email protected]
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