U.S. Major ExxonMobil Faces $220M Tax Claim from Russia

Reuters
Tuesday, January 31, 2023

 The Russian General Prosecutor's Office is asking a court to recover 15.5 billion roubles ($220 million) in allegedly unpaid taxes from U.S. oil major ExxonMobil , local news agencies TASS and Interfax reported on Tuesday citing court documents. 

The Sakhalin regional court website lists a claim against Exxon Neftegaz Ltd, ExxonMobil's Russian subsidiary, by the General Prosecutor's Office, without giving further details. Exxon declined to immediately comment. 

The local court declined to disclose further details to Reuters as the company is not a party to the case.

The Russian prosecutor's office did not reply to a request for comment. Exxon last year issued force majeure and abandoned an offshore oil project on the Russian Pacific island of Sakhalin due to Western sanctions imposed on Moscow after it sent troops into Ukraine on what it called a "special military operation". 

Moscow retaliated by blocking foreign investors' assets, in some cases also seizing them. 

After Exxon's exit Moscow established a new entity, managed by a subsidiary of Russian energy giant Rosneft, that owns investor rights in Sakhalin-1 project. The next hearing of the case in Sakhalin is scheduled for Feb. 28, according to the court's web site. 

Exxon took an impairment charge of $4.6 billion on its Russian activities in April. It also reduced local energy production and moved staff out of the country. 

Russia last year approved requests by India's ONGC Videsh, the overseas investment arm of state-run Oil and Natural Gas Corp, and Sakhalin Oil and Gas Development Co (SODECO), a consortium of Japanese firms, to retain their respective 20% and 30% stakes in the Sakhalin project. 

($1 = 70.3800 roubles) 

(Reuters - Reporting by Olesya Astakhova; writing by Vladimir Soldatkin; Editing by Kirsten Donovan)


Categories: Energy Industry News Activity Production Asia Regulations

Related Stories

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Ventura Offshore’s Semi-Sub Rig to Keep Drilling for Eni in Asia

Seatrium Secures ABS Backing for Deepwater FPSO Design

MDL Secures Cable Laying Job in Asia Pacific

Yinson Production Nets DNV Approval for New FPSO Hull Design

Petronas to Leverage AI to Expedite Oil and Gas Exploration Activities

Marco Polo Picks Salt Ship Design for Next-Gen Offshore Energy CSOV

CNOOC Brings Online Another Oil and Gas Project in South China Sea

Current News

Malaysia’s Petronas and Oman’s OQEP Strengthen Oil and Gas Ties

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

Pharos Energy Kicks Off Drilling Campaign Offshore Vietnam

Viridien to Shed More Light on Malaysia’s Offshore Oil and Gas Potential

US Pressure on India Could Propel Russia's Shadow Oil Exports

Energy Drilling’s EDrill-2 Rig Starts Ops for PTTEP in Gulf of Thailand

RINA Wins FEED Contract for Petronas’ Flagship CCS Project in Malaysia

ABL Secures Rig Moving Assignment with India's ONGC

Pakistan, Türkiye Deepen Oil and Gas Ties with Offshore Indus-C Block Deal

Eni-Petronas Gas Joint Venture Up for Launch in 2026

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com