Licenses for gas blocks at Sakhalin-2 PSA project reissued to new project operator Sakhalin Energy LLC

MOSCOW. Aug 19 (Interfax) - The licenses for the Lunskoye and Piltun-Astokhskoye blocks being developed as part of the Sakhalin-2 PSA project, on the shelf of the Sea of Okhotsk, have been reissued to a new operator, Sakhalin Energy LLC, according to information in the state registry of subsoil plots and licenses.

The new licenses were issued on August 19, and they are valid until May 19, 2026, according to the registry.

Sakhalin Energy LLC "began active work" on Friday, the company said in a press release.

The rights and obligations of the former operator, Bermuda-based Sakhalin Energy Investment Company Ltd, have been transferred to the new company, along with its staff, with the preservation of current social security benefits and remuneration. The website of the project operator has been changed to sakhalinenergy.ru.

President Vladimir Putin signed a decree in June on "special economic measures in the fuel and energy sector in connection with the unfriendly actions of certain foreign nations and international organizations." Under the decree, the operator of Sakhalin-2, Bermuda-based Sakhalin Energy Investment Company Ltd was replaced by a Russian company.

The decrees states that on establishment, the Gazprom Group's Gazprom Sakhalin Holding LLC should receive a participatory share of 50.00000001378317%. The remaining share of 49.99999998621683% should remain on the balance sheet of Sakhalin Energy LLC itself. The current shareholders of Sakhalin Energy, which are Shell, Mitsui, Mitsubish, must agree within a month to receive a stake in the new Russian LLC.