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Russian Court Rules Shell JV Move to Russia Control

OIL

A Russian court ruled on Monday that Salym Petroleum Development, a joint venture between Shell and Gazprom Neft, should be transferred to Russian jurisdiction according to Interfax.

  • The court has frozen the stake held by Shell until 2024. The two companies each own 50% of the venture.
  • In March, Shell announced plans to end operations in Russia. In July Shell stepped back from the management of the venture and downgraded the asset's value to zero
  • The Salym fields contained recoverable oil reserves totalling 140 million tonnes.
  • Shell has already withdrawn from Gydan Energy, another joint venture with Gazprom Neft.

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