The request of Exxon to drill in Russia does not receive support – WSJ

Representatives of the Republican and Democratic parties oppose granting ExxonMobil rights to resume drilling operations on the continental shelf of the Black sea in the framework of its JV with Rosneft, The Wall Street Journal writes.

Against this decision already expressed publicly by senators Marco Rubio and John McCain (Republican) and Bob Menendez (Democrat), Congressman Eliot Engel, as well as the ranking member of the Democratic party in the house of representatives Committee on foreign Affairs.

“Are they crazy?” – wrote on Twitter, commenting on the request of Exxon, D. McCain.

As reported by the American newspaper earlier this week, Exxon Mobil in 2015, asked the U.S. Treasury Department with a request to remove the restrictions on drilling operations in Russia and then renewed that request in March.

The company alleges that under the terms of the agreement, it needs to begin drilling in the area in the Black sea until the end of the year . Without these activities and the detection of oil of SP will not be able to obtain a license to develop the field.

Exxon also argues its position that its European competitors Eni and Statoil continue to implement oil and gas projects in Russia.

The us sectoral sanctions imposed in 2014, prohibit the transfer of Russia’s advanced technologies, including those associated with offshore drilling, including the Arctic.

One of the agencies that should participate in the discussion of the application of Exxon, is the Department of state, the head of which has recently become long-term SEO oil company, Rex Tillerson. However, the Secretary of state in the next two years will not participate in the consideration of all questions relating to the activities of Exxon.

Rosneft and Exxon Mobil in 2011 signed an agreement on strategic cooperation in Russia, the U.S. and third countries. The agreement provides for the exploration and development of three licensed areas of Rosneft (MOEX: ROSN) in the Kara sea (East Prinovozemelsky 1, 2 and 3) and the Tuapse license block in the Black sea. The share of “Rosneft” in projects on development of areas in the Kara sea and Black sea is 66.7 percent, ExxonMobil – 33.3 per cent.

In 2014, the license area of the East Prinovozemelsky-1 Rosneft together with Exxon drilled the well Universitetskaya-1, confirming the presence of hydrocarbons. According to the results of drilling the University-1 open oil and gas field, the Victory oil reserves by category C1+C2 – 130 million tons and gas 500 billion cubic meters.

Because of U.S. sanctions, Exxon has been forced to curtail operations in Russia, with the exception of the project “Sakhalin-1”. “Rosneft” declared that are ready to continue work in the Arctic.

News see also on the website Energoinform

Leave a comment

Confirm that you are not a bot - select a man with raised hand: