Oil and condensate production at Sakhalin-1 has almost halved

The volume of oil and condensate production at Sakhalin-1 has almost halved in seven months compared to the same period in 2021, Governor of the Sakhalin Region Valery Limarenko said. He clarified that oil and gas production at the project is still stopped. Andrey Okhotkin, commercial director of Sakhalin Energy (the new operator of Sakhalin-2), said that the company is ready to provide “comradely assistance” to Sakhalin-1 in the sale of energy resources.

According to Mr. Limarenko, annual production at Sakhalin-1 is projected at 4.2 million tons instead of the expected 8.9 million tons. “A decrease is also expected for gas due to the fact that the company has suspended its production since September 16, 2022,” the governor said at the plenary session of the Sakhalin Oil and Gas Far Eastern Energy Forum (quoted by RIA Novosti).

Mr. Okhotkin during the forum noted that the company had already proposed to consider the issue of its participation in deliveries from Sakhalin-1 to the Ministry of Energy. “We know the markets, we have the same carrier with Sakhalin-1 – this is Sovcomflot, we know all the ships, the operations are known, we could fully connect here and help,” he said. This will help Sakhalin Energy not to reduce its LNG exports while providing gas to the regions of the Far East.

In July, the Russian authorities announced that after the withdrawal of ExxonMobil specialists (it owns 30% in Sakhalin-1), oil production at the project decreased by 22 times – from 220 thousand to 10 thousand barrels per day. In June, according to Kommersant, production did not exceed 6 thousand barrels per day, that is, the project was almost stopped. Ministry of Energy thinksthat production at Sakhalin-1 was stopped under a far-fetched pretext. ExxonMobil intends sue if she is not allowed to leave the project.

On the development of the situation – in the material “Kommersant” “Oil dried up”.

Laura Keffer