Russia’s Gazprom formally takes control of Sakhalin-2 oil-and-gas project

The Russian state gas monopoly OAO Gazprom formally took control of the huge Sakhalin-2 oil-and-gas project on Wednesday, after wresting a majority stake from Shell and its partners in a US$7.45 billion deal that consolidated the Kremlin’s command of Russia’s energy resources.

Company representatives put their signatures on the agreement that sees Royal Dutch Shell PLC, Mitsui & Co. and Mitsubishi Corp. halve their stakes in the development on the Pacific island of Sakhalin.

IHT