Sakhalin-1 LLC registered in Yuzhno-Sakhalinsk

MOSCOW, 14 Oct — PRIME. Sakhalin-1 Limited Liability Company, the Russian legal entity of the operator of the PSA project of the same name, was registered in Yuzhno-Sakhalinsk on October 14, follows from the data of the Unified State Register of Legal Entities (EGRLE).

“Full name in Russian: Sakhalin-1 Limited Liability Company… Location of the legal entity: Sakhalin Region… the city of Yuzhno-Sakhalinsk… Method of formation: creation of a legal entity. Date of registration: 10/14/2022,” is indicated in the extract.

The document specifies that the joint-stock company Sakhalinmorneftegaz-Shelf, a structure of Rosneft, has been appointed as the managing company.

The former operator of Sakhalin-1, Exxon Neftegaz Limited (a subsidiary of Exxon Mobil), which owns a 30% stake, announced in March its intention to withdraw from the project, and in April it introduced a force majeure regime, as a result of which production oil and gas was first reduced and then completely stopped. Other participants in Sakhalin-1 are Rosneft (20%), Japanese Sodeco (30%) and Indian ONGC (20%).

As a result, a week ago Russian President Vladimir Putin issued a decree ordering the government to create a new Russian operator of Sakhalin-1, which would take over the rights and obligations of Exxon Neftegaz Limited. The new Sakhalin-1 operator will be managed by the Rosneft structure Sakhalinmorneftegaz-Shelf, at least until all the stakes in the operator are distributed, after which the authority of the structure can be extended.