Sakhalin-1, a Russian oil refinery, will reduce output by 10% by 2025
The U.S. abandoned the 'Sakhalin-1' project in Russia, which was a major oil production facility. ExxonMobil's major ExxonMobil continued to decline last year. It fell by 10.3% due to planned maintenance.
The production volume, which is expected to fall 9.8% by 2024, was not provided.
Exxon had to take a $4.6bn impairment charge in April 2022 on its 30% operator?share in the project offshore Russia's Pacific?coast. This was due to the fact that Exxon left the Russian market after the start of the conflict with Ukraine in February 2022.
The project is also a collaboration between India's ONGC Videh and Japan's SODECO.
In September, two sources familiar with the discussions said that Exxon had signed an initial non-binding agreement with Rosneft to?help Exxon recover its losses.
The Russian government has stated that it welcomes the return of businesses who have left the country.
Sakhalin administration said that the liquefied gas production from?the Sakhalin-2 Project, led by?Gazprom, reached 10.3 millions metric tons in last year, an increase of 1.1% compared to 2024.
Japan's Mitsubishi and Mitsui own a combined 22,5% of Sakhalin-2. (Reporting done by Oksana KOBZEVA. Vladimir Soldatkin wrote the article. Mark Potter (Editing)
(source: Reuters)
