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As BP and Shell leave Russia, these companies still have stakes

1st March 2022

By: Bloomberg

  

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The invasion of Ukraine has prompted oil giant BP and Shell to quit Russia in a historic move that will bring billions of dollars of impairments. Now the pressure is building on others to follow suit.

Energy company Equinor ASA has also said it will start withdrawing from Russia, as sanctions ratchet up. Investors are wondering who could be next to dump assets.

Here’s a list of some companies that have holdings or interests in Russia’s commodity and energy sectors:

ENERGY

TotalEnergies

TotalEnergies SE has operations in Russia representing around $1.5-billion of its total cash flow, or around 5%. It owns roughly a fifth of gas producer Novatek, as well as a large interest in the Yamal LNG project, Russia’s biggest producer of liquefied natural gas. It also has a 10% in the future Arctic LNG 2 development.

Exxon

Exxon Mobil has a 30% stake in the Sakhalin 1 project, a long-standing joint venture with Rosneft, as well as Japanese and Indian firms. The offshore oil venture in Russia’s Far East produced some 227 000 barrels a day last year.

Fortum

Finnish utility Fortum Oyj owns 12 power plants in Russia that employ some 7 000 people. It also has Russia’s largest wind and solar portfolio, with capacity exceeding 1.2 GW.

OMV

OMV, Austria’s biggest fossil fuel company, faces potential impairments on a 730-million euro ($820-million) loan to the Nord Stream 2 project. It also has a 25% stake in the giant Yuzhno Russkoye natural gas field, which generates about a fifth of the company’s production -- or roughly 100 000 barrels of oil equivalent a day.

Wintershall

Wintershall Dea, which is jointly owned by BASF SE and Russian billionaire Mikhail Fridman’s investment firm LetterOne, has stakes in gas-producing joint ventures in Siberia with Gazprom. It also has a stake in the Nord Stream gas pipeline from Russia to Germany, and provided a long-term loan to Nord Stream 2.

Engie

France’s Engie SA has a stake in Nord Stream and provided a loan to Nord Stream 2.

Uniper

Uniper owns an 83.7% majority stake in Russian utility Unipro, is among the financial backers of Nord Stream 2 and has substantial operations in Russia like its parent, Fortum.

TRADERS AND METALS

Gunvor

Trading house Gunvor Group holds a 26% stake in oil products terminal OJSC Ust-Luga. Russian business made up 6% of Gunvor’s total trading volumes in 2020, the most recently reported financial year.

Trafigura

The trader bought a 10% stake in Vostok Oil, a vast project controlled by Rosneft, in 2020. Vostok is expected to deliver up to 30-million tons of oil via the North Sea by 2024.

Vitol

Vitol Group has a 5% stake in the Rosneft-run Vostok Oil venture, which it bought in consortium with Mercantile & Maritime.

Glencore

Commodity trading giant Glencore's Viterra agriculture unit is a joint owner -- along with VTB Group -- of the Taman grain terminal on the Black Sea.

Glencore also has about a 0.5% stake in Rosneft. It has a 10% holding in En+ Group International PJSC, which controls United Co. Rusal International, and a massive offtake deal with Rusal.

Sucden

The French trader operates four sugar-beet processing plants in Russia, with a combined production capacity of 800 000 tons a year.

BIG AGRI

ADM

Archer-Daniels-Midland Co. has more than 430 employees in Russia, with offices in multiple cities including Moscow and St. Petersburg. It also has a joint venture with Aston Foods there.

Cargill

Cargill has more than 2 500 employees in the country, with businesses in everything from oilseed trading and crushing to poultry processing and specialty food ingredients.

Louis Dreyfus

Louis Dreyfus Co. has a grain terminal on the Sea of Azov that can export 1.1-million tons a year as well as inland silos.

Bunge

Bunge owns a port in Rostov, as well as an oilseed crushing plant, refinery and an oil packaging business in Voronezh.

Edited by Bloomberg

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