Aug 3 (Reuters) - U.S. oil producer Exxon Mobil is
in the process of transitioning its 30% stake in a Russian oil
development "to another party," according to a filing with the
U.S. Securities and Exchange Commission on Wednesday.
Hundreds of energy and consumer goods companies including
BP, Equinor, Pepsico, Shell and Starbucks have left the country
or transferred assets as a result of Russia's Feb. 24 invasion
Exxon did not name the other party in its filing. It was the
operator of Sakhalin-1, a large oil and gas development in
Russia's Far East, which produced 220,000 barrels of oil and gas
per day as recently as 2021.
Earlier this year, Exxon took a $4.6 billion impairment
charge for exiting the development, its largest investment in
A senior Russian lawmaker said on July 8 that Moscow would
take control of the Sakhalin-1 oil and gas project that included
Exxon Mobil, Japan's SODECO, India's ONGC Videsh as well
as Russian energy giant Rosneft. Its output fell to
just 10,000 bpd following Western sanctions on Russian commerce.
Exxon declined to say what company or companies would take
over its Russia assets. However, it has made significant
progress exiting the Sakhalin-1 venture, spokesperson Casey
"As operator of Sakhalin-1, we have an obligation to ensure
the safety of people, protection of the environment and
integrity of operations," he added. "It's a complex process."
A shift of assets to Rosneft would follow a path taken by
others. France's TotalEnergies transferred a stake in Russia's
Kharyaga oil field to Russian state producer Zarubezhneft.
(Reporting by Shariq Khan in Bengaluru, Gary McWilliams and
Sabrina Valle in Houston; Editing by Anil D'Silva, Sandra Maler
and Deepa Babington)