Gazprom and Shell review progress of joint projects
RELEASE
Release
A working meeting between Alexey Miller, Chairman of the Gazprom Management Committee, and Ben van Beurden, Chief Executive Officer of Royal Dutch Shell, took place today at the St. Petersburg International Economic Forum 2019.
The parties reviewed issues related to bilateral cooperation, paying special attention to the implementation of the Nord Stream 2 project. To date, more than 1,402 kilometers of pipes – over 57 per cent of the gas pipeline's total length – have been laid in the Baltic Sea.
During the meeting, the parties also discussed the construction project for the third production train of the LNG plant (Sakhalin II).
Background
The St. Petersburg International Economic Forum 2019 is being held at the EXPOFORUM Convention and Exhibition Centre from June 6 to 8. This year's key topic is Creating a Sustainable Development Agenda.
Royal Dutch Shell is a British-Dutch oil and gas holding company focused on hydrocarbon production, processing and marketing in more than 70 countries.
Nord Stream 2 is the construction project for a gas pipeline with the annual capacity of 55 billion cubic meters from Russia to Germany across the Baltic Sea. In 2017, Nord Stream 2 AG signed agreements with ENGIE, OMV, Royal Dutch Shell, Uniper, and Wintershall DEA to provide financing for 50 per cent of the total cost of the project.
Gazprom and Shell are jointly engaged in the Sakhalin II project, which includes Russia's first LNG plant. The project operator of Sakhalin II is Sakhalin Energy (Gazprom – 50 per cent plus one share, Shell – 27.5 per cent minus one share, Mitsui & Co. Ltd – 12.5 per cent, and Mitsubishi Corporation – 10 per cent).
Gazprom and Shell signed the Memorandum to construct the third production train of the LNG plant (Sakhalin II), as well as the Agreement of Strategic Cooperation.