Royal Dutch Shell Plc  .com Rotating Header Image Russia Inspects BP’s Siberian Gas Field

24 May 2007    
Russia’s environmental agency has started a final inspection of a giant Siberian gas field controlled by BP’s Russian joint venture TNKBP.

The agency claims BP is not meeting production targets at the Covitka field in eastern Siberia.

It is thought the inspection could be a precursor to the revocation of BP’s license.

BP says it can not meet the targets because the local gas monopoly owned by Gasprom refuses to let it export gas.

An energy analyst with Global Insight, Jan Randolph, says this looks like a replay of the saga Shell faced with the Sakhalin field.

And once again, he says the environment is not the real issue.

Mr Randolph says foreign companies are getting the message that they are not wanted in Russia.

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