Thread by @SStapczynski

Shell announced that it will exit from equity partnerships with Russia’s Gazprom 🇷🇺 🚨

That includes its 27.5% stake in the Sakhalin-II liquefied natural gas export facility 🚢

Shell is the latest western company to exit Russian investments amid the Ukraine conflict 👋

Shell will exit from the following projects:

>> Sakhalin-2 LNG export plant
Shell has a 27.5 percent interest in
>> Salym petroleum development
>> Nord Stream 2 pipeline
>> Gydan energy development

The ball is now in the court of Japanese partners at Sakhalin II — will Mitsubishi and Mitsui be put under pressure to exit as well? 🇯🇵

Sakhalin is a key plant for Japan, providing nearly 8% of deliveries

I can’t emphasise enough how this is a big deal

Sakhalin-II LNG plant has always been viewed as one of Shell’s Crown Jewels

It’s basically the closest facility to key buyers in China, Japan, S Korea

It has big capacity at 11mtpa

And they spent no time deciding to exit. Huge

This heaps more pressure on western companies, like Total, to exit from Russian LNG

Total has a 20% stake in Novatek's Yamal LNG export plant in Russia