2022-04-29 12:05:00
EXXON REDUCTION IN RUSSIA
PLATTS - 29 Apr 2022 - ExxonMobil's Russian subsidiary Exxon Neftegas has declared force majeure for its Sakhalin 1 project, a spokesperson told S&P Global Commodity Insights April 29.
"Force majeure was declared due to recent events that hinder, delay or prevent Exxon Neftegas Ltd. from complying with its obligations under the agreements and from conducting operations at the required level of international standards for marine and petroleum industries," the spokesperson said.
Some traditional buyers of Russian oil have been seeking alternative suppliers since Russia's invasion of Ukraine Feb. 24 triggered major financial sanctions.
This has seen Russian crude grades trade at significant discounts. Platts assessed Sokol CFR Japan/Korea Spore vs Mean of Dubai at -$22.5/b April 29, S&P Global data showed. This is down from $7.95/b on Feb. 23, the day before the Russian invasion.
ExxonMobil holds a 30% stake in Sakhalin 1. Other partners include Rosneft with 20%, Japan's Sodeco with 30% and India's ONGC Videsh with 20%. The stakeholders receive Sokol crude oil, corresponding to their stakes, and sell their equity crude in the market.
Exxon Neftegas has curtailed crude oil production as a result of the force majeure but the company did not provide further details.
The spokesperson said that ExxonMobil is proceeding with efforts to discontinue operations at Sakhalin 1. On March 1, the company said it would discontinue operations at the project and avoid new investments in Russia.
In recent years, ExxonMobil has reduced its involvement in Russia. In 2018, it said it announced withdrawal from joint ventures set up with Rosneft in 2013 and 2014. This followed the introduction of the US and EU sanctions against Russia over its role in the conflict in Ukraine in 2014, and the further expansion and codification of the US sanctions in 2017.
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Earlier:
2022, April, 27, 11:55:00
OIL PRICE: BRENT ABOVE $105, WTI NEAR $102
Brent rose 67 cents, or 0.6%, to $105.66 a barrel , WTI gained 44 cents, or 0.4%, to $102.14 a barrel.
2022, April, 22, 11:30:00
RUSSIA OIL EXPORTS UNCHANGED
Combined, Russia's seaborne crude and key oil products exports stood at 6.79 million b/d so far in April, down 640,000 b/d from 7.43 million b/d in February,
2022, April, 22, 11:25:00
RUSSIA'S OIL PRODUCTION 10.1 MBD
Oil production averaged 10.1 million barrels a day between April 1 and April 19, with the average production for the month forecast at 10 million barrels a day, down from the March average of 11.01 million barrels a day.
2022, April, 21, 14:40:00
RUSSIAN OIL TO CHINA DOWN
Compared to an year ago, China's imports from the Middle East was 5.35 million b/d, accounting for 47.1% of market share.
2022, April, 12, 13:05:00
RUSSIA UNDER SANCTIONS
Russia's invasion has driven up the price of the oil, gas and grain it exports, providing it with a substantial windfall to fund its "special military operation" - now entering a new phase as Moscow focuses on the eastern Donbas region after failing to break Ukraine's defence of the capital Kyiv.
2022, April, 8, 11:00:00
RUSSIA'S OIL PRODUCTION WILL DOWN
Novak is Russia's key negotiator in the OPEC+ group, which has resisted calls from consumers to increase production.
2022, March, 28, 11:50:00
RUSSIAN ASSETS WITHOUT RISKS
"Currently the company's operations and business in Russia are largely running smooth and there are no signs of asset impairment," Sinopec's President Yu Baocai told investors and reporters during a call following its 2021 earnings release.
