ExxonMobil freezes Far East LNG project

April 4 2022
ExxonMobil has frozen the Far Eastern LNG project in the port of De-Kastri, Governor of the Khabarovsk Territory Mikhail Degtyarev said on the air of the Komsomolskaya Pravda radio station.
As reported earlier, Exxon Neftegaz Limited (ENL, subsidiary of ExxonMobil, operator of the Sakhalin-1 project) launched a tender campaign in February 2022 to select contractors for the Far East LNG project. The company announced the search for contractors to assess the quality of building materials, as well as the search for manufacturers of reinforced concrete products.
The construction of an LNG plant with a capacity of 6.2 million tons per year in the area of the village of De-Kastri in the Khabarovsk Territory is planned to monetize gas reserves on the Sakhalin shelf as part of the Sakhalin-1 consortium.
The cost of the Far East LNG project, according to the Ministry of Energy, is estimated at $4.2 billion. The launch is scheduled for 2027-2028.
On March 2, ExxonMobil announced its withdrawal from the Sakhalin-1 project, refusing to invest in Russia “in response to recent events.” The Sakhalin-1 project involves ExxonMobil – with a share of 30%, SODECO (Japan) – 30%, Rosneft – 20%, ONGC (India) – 20%. The total reserves of the project fields are estimated at 307 million tons of oil and 485 billion cubic meters of natural gas.
Source: https://portnews.ru/news/327533/