American oilfield services company SLB expands its presence in Russia

The world's largest American oilfield services corporation SLB (formerly known as Schlumberger ) is expanding its presence in Russia after the departure of its main Western competitor, News.az reports citing Neftegaz.Ru .

In May 2023, it was reported that SLB was bringing its Russian business into compliance with Western sanctions on oil equipment and technology transfer: tightens equipment transfer; prohibits Russian employees from accessing certain software and messaging systems; and restricts some other operations.

It was noted that the company does not plan to leave the Russian market.

But already in July 2023, SLB loudly announced the termination of deliveries of products and technologies to the Russian Federation from all its international enterprises.

At the same time, in January 2023, it became known that SLB had increased its presence in Russia after taking over contracts from competitors who had left the country.

In March 2024, the company's head, O. Le Peche, reported: that SLB has no intention of leaving Russia yet, despite pressure from the West; Since July 2023, SLB has introduced control measures to prevent and prohibit any supply and support of technologies to Russia; The move will, in the long term, hurt the country's ability to develop some of its offshore oil fields; When we make a decision (on the sale of assets in Russia, - editor's note), we will make it public if necessary.

According to the FT, SLB is currently continuing to import into Russia.

Thus, from August to December 2023, the company imported equipment worth $17.5 million into the Russian Federation.

At the same time, equipment worth $2.2 million was declared as originally manufactured by SLB or its subsidiaries.

Circumventing sanctions?

The American company declined to comment, but according to an expert close to it, the imports were not made from the SLB facility, and therefore such actions are consistent with the corporation's public statements and the basic principles of international sanctions.

In 2023, the corporation's revenue from operations in the Russian Federation, where 9 thousand of its employees work, amounted to USD 1.65 billion.

SLB's net assets in Russia at the end of 2023 were estimated at USD 600 million.

News.Az