“Gas delivery from deposits of “Sakhalin – 2” project will start in the end of 2008 instead of summer 2008 as it was initially announced”, according to Royal Dutch Shell, one of the project participants.

This project is implemented on the basis of product sharing agreement and realized by Sakhalin Energy as operating company. Shell controls 55% in the capital of the operating company, subsidiary companies of Mitsui & Co. and Mitsubishi Corp. accordingly 25% and 20%. Gazprom is negotiating about joining in the project. The cost of the project is estimated $20 billion.

“Perennial extraction and the first gas delivery are planned to start in the end of 2008”, said Jonathan Charles, Shell representative. (According to Lawtek)