Novak discussed the Sakhalin-2 project with the director of Mitsui

Deputy Prime Minister Alexander Novak discussed with Motoyasu Nozaki, Executive Director of the Japanese financial and industrial group Mitsui, issues of bilateral cooperation in the energy sector. Among the topics raised, in particular, was the issue of developing joint oil and gas projects, including “Sakhalin-2”, “Arctic LNG 2” and “Yamal LNG”, informed press service of the Russian government.

“Sakhalin-2”is one of the largest projects of the company, in 1986 Mitsui joined its development, becoming the only company developing the project from the very beginning. Work in the Sakhalin-2 project and other joint projects is mutually beneficial for our countries,” Novak said. He also expressed hope for a comprehensive intensification of cooperation with Mitsui in the energy sector, primarily in the investment and technology areas. In addition, Novak extended an invitation to Nozaki to participate in the International Forum “Russian Energy Week – 2022”, which will be held on October 12-14 in Moscow.

On the eve of the press service of Mitsui informedthat received approval from the Russian government to participate in the Sakhalin-2 project. In addition, Prime Minister Mikhail Mishustin authorized the transfer of a 12.5% ​​stake in the new operator of the Sakhalin-2 project to Mitsui.

The Sakhalin-2 LNG project is being implemented on the shelf of the Sakhalin Peninsula under a Production Sharing Agreement (PSA). It provides for the development of the predominantly oil Piltun-Astokhskoye and the predominant gas Lunskoye fields.

At the end of June 2022, Russian President Vladimir Putin signed a decree “On the application of special economic measures in the fuel and energy complex in connection with the unfriendly actions of certain foreign states and international organizations.” In accordance with it, all rights and obligations of the former operator of the Sakhalin-2 project, Sakhalin Energy Investment Company Ltd. were transferred to a specially created Sakhalin Energy LLC. The new operator announced the start of work on August 19. The owner of the controlling stake in the Russian company was “Gazprom“.

Earlier in the PSA project, Gazprom owned 50% plus 1 share, Shell – 27.5% minus 1 share, Japanese Mitsui and Mitsubishi – 12.5 and 10% respectively. However, today it became known that Shell refused to participate in the new operator.

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