Putin Bans Sale of Sakhlian-1 Stakes until Year-End

Politics Economy

Tokyo, Aug. 5 (Jiji Press)--Russian President Vladimir Putin signed a decree Friday to ban companies in Japan and other unfriendly countries to sell stakes in the Sakhlian-1 oil and natural gas development project until Dec. 31, Russia's state-run ITAR-Tass news agency said.

Sakhalin Oil and Gas Development Co., a Tokyo-based company jointly held mainly by the Japanese government, trading houses Itochu Corp. <8001> and Marubeni Corp. <8002>, and Japan Petroleum Exploration Co. <1662>, has a 30 pct stake in the project.

In March, U.S. oil giant Exxon Mobil Corp. announced its withdrawal from the project in response to Russia's invasion of Ukraine.

Putin's decision is apparently designed to stop the exodus of Western energy companies from Russia following its invasion of Ukraine.

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