BAKU, Azerbaijan, May 5. After the announcement by Royal Dutch Shell to end its involvement in Russia’s Nord Stream 2 gas pipeline project, the company assessed the recoverability of the loan to Nord Stream 2, leading to a full write-down of the loan amounting to $1,126 million, Trend reports vis the company.
Shell is one of five energy companies which have each committed to provide financing and guarantees for up to 10 percent of the total cost of the project.
Following the outbreak of war in Ukraine, Shell announced its intent to:
Withdraw from its ventures in Russia with Gazprom and related entities, and to end its involvement in the Nord Stream 2 pipeline project;
Withdraw from its service station and lubricants operations in Russia. Shell is working on a plan to help to achieve this in a phased manner, ensuring it is done safely for Shell's staff and operations;
Orderly withdrawal from its involvement in all Russian hydrocarbons, including crude oil, petroleum products, gas and LNG in a phased manner, aligned with new government guidance. Since these announcements, Shell has stopped all spot purchases of Russian crude, liquefied natural gas, and of cargoes of refined products directly exported from Russia.
Shell will not renew long-term contracts for Russian oil, unless under explicit government direction, but is still legally obliged to take delivery of crude bought under contracts that were signed before the war.
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