Shell gets $165 million dividend payment from Russian LNG project

By Ron Bousso

LONDON – Shell obtained a $165 million dividend fee in April from the enormous Russian Sakhalin-2 oil and gasoline three way partnership wherein it holds a 27.5% stake, it mentioned on Thursday.

Shell was in a position to obtain the dividend, which pertains to the three way partnership’s 2021 revenue, as a result of the Sakhalin Power Funding Firm is a Bermuda-listed entity, an organization spokesman mentioned.

Shell wrote off the worth of its Russian belongings at $3.9 billion, together with $1.6 billion for Sakhalin-2, following Moscow’s invasion of Ukraine in February.

It has additionally made clear it intends to give up Sakhalin-2 and has been in talks with potential consumers.

President Vladimir Putin earlier this month signed a decree that seizes full management of the Sakhalin-2 venture in Russia’s far east, a significant provider of liquefied pure gasoline to Asia wherein Shell and two Japanese buying and selling firms – Mitsui and Mitsubishi – maintain slightly below 50%.

Chief Government Ben van Beurden mentioned on Thursday it was “extremely unlikely” Shell would search to hitch a brand new entity.

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