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RosBusinessConsulting: Negotiations on Sakhalin-2 to end soon

RBC, 21.11.2006, Moscow 13:18:35.

Russia’s Industry and Energy Ministry is poised to complete negotiations on the Sakhalin-2 budget before the year-end, Deputy Minister Andrei Dementyev told journalists today. He explained that they would include reviewing the estimated costs of the project proposed by the Sakhalin Energy Consortium, and some other agreements.

The Industry and Energy Ministry has drawn in Zarubezhneft to independently evaluate the project’s costs. According to unofficial data, the cost of Sakhalin-2 has been overstated by $1.6bn to $2.5bn. However, Zarubezhneft has not yet released the data.

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