Numerous Western companies have suspended their operations in Russia following its invasion of Ukraine.
ExxonMobil had suspended its liquefied natural gas project in Russia's Far East. a Russian governor announced this latest development earlier today.
This latest development came a month after ExxonMobil announced that it would cease its operations in Russia.
Russia has faced backlash from Western corporations following its invasion of Ukraine in February. Despite the numerous peace talks, Russian forces continue to occupy some cities in Ukraine.
In March, ExxonMobil said it would close its oil and gas operations in Russia, valued at over $4 billion. The company added that it would also cease further investments in the country.
Exxon’s latest decision would see the company pull out of controlling large oil and gas production facilities on Sakhalin Island in Russia's Far East. the company has also terminated the multi-billion-dollar LNG facility it planned to build in the country. However, it is unclear if ExxonMobil will resume this project at a later date.
Exxon had previously planned to build the Far East Liquefied Natural Gas (LNG) project. The facility will have an annual capacity of more than 6 million tonnes as part of the Sakhalin-1 consortium spearheaded by Russian energy giant Rosneft. Khabarovsk region's governor Mikhail Degtyaryov said;
"The project, which the Americans – Exxon – had announced at the port of De Kastri with the pipe from Sakhalin, it is frozen until further notice from them. Why has it been done? I am astonished, this is a shot in the foot."
Another oil giant BP abandoned its stake in Russian oil giant Rosneft after a partnership that had lasted for nearly three decades.
In addition to oil companies, several Western corporations, including MasterCard, Nestle, Shell, Unilever, Goldman Sachs, Deutsche Bank, Western Union, Visa, American Express, Citigroup, Starbucks, McDonald's, PepsiCo, and many more, have ceased operations in Russia.
