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Sheikh Qassem: Our supporters make up more than half of Lebanon's population, and all of these people are united under the banner of protecting Lebanon, its Resistance, its people, and its integrity.
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Sheikh Qassem: The government’s latest decision [on the disarmament of the Resistance] is non-charter-based, and if the government continues down this path, it is not faithful to Lebanon’s sovereignty.

Japan wants to preserve its participation in Sakhalin-2: Minister

  • By Al Mayadeen English
  • Source: Agencies
  • 4 Aug 2022 08:44
3 Min Read

Trade and Industry Minister Koichi Hagiuda demands the preservation of Japan's rights and interests in the Sakhalin-2 oil and gas project.

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  • Japan wants to preserve its participation in Sakhalin-2: minister
    Japan wants to preserve its participation in Sakhalin-2: minister

The Russian government's decision to appoint a new project operator led to Japan's commitment to its involvement in the Sakhalin-2 oil and gas project, said Japan's Economy, Trade and Industry Minister Koichi Hagiuda on Thursday.

"We want to preserve our rights and interests (in the project)," Kyodo quoted him as saying.

A decision creating Sakhalin Energy LLC as the new operator of the Sakhalin-2 PSA project with registration in Yuzhno-Sakhalinsk was signed by Russian Prime Minister Mikhail Mishustin on August 2. The new operator's top executive will be Andrey Oleinikov, CEO of the Sakhalin Energy subsidiary, the present project operator.

The Sakhalin-2 project will no longer be run by the Sakhalin Energy corporation upon a request by Russian President Vladimir Putin issued on June 30. Within a month, foreign shareholders are required to consent to receive shares in the new firm that are proportionate to their shareholding in the previous one.

Haigiuda stated that Mitsui and Mitsubishi, which control 12.5 percent and 10 percent, respectively, should maintain their presence after meeting with Japanese Prime Minister Fumio Kishida on July 16. At the time, Kyodo reported—citing sources—that the government had discussions with the businesses. The minister later revealed that Japan has informed the US of its intention to keep shares in Sakhalin-2.

Tokyo has stated time and time again that Sakhalin-2 is important to it because it will increase its energy security. 8.8% of Japan's liquefied natural gas imports come from Russia. Almost all gas is produced on Sakhalin-2.

Read next: Mitsui, Mitsubishi to continue participation in Sakhalin-2 project

Earlier this month, the Japanese government declared that it intends to ensure its participation in the Russian Sakhalin-2 oil and gas project, according to the Japanese news agency Kyodo, citing official sources.

The government talked with Japanese corporations Mitsui and Mitsubishi regarding participation in the project. In early July, Russian President Vladimir Putin issued a decree for Russia to establish a new project operator to take over Sakhalin-2 from Sakhalin Energy Investment Co, according to the article.

Gazprom of Russia will retain a 50 percent plus one shareholding. Shell has already pledged to sell its 27.5 percent interest, while Mitsui and Mitsubishi are said to be holding 12.5 percent and 10 percent stakes, respectively.

  • Trade and Industry Minister
  • Koichi Hagiuda
  • Japan
  • Russia
  • Sakhalin-2
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