Sakhalin II Update

The Sakhalin II project is seeking up to USD $5B from the European Bank for Reconstruction and Development (EBRD) and Export Credit Agencies (ECAs) of the US, UK and Japan.
    A. Gazprom Announces New 25% Share in Sakhalin II
June 10, 2005 (MosNews, Russia) — Gazprom announced the firm was very close to concluding a long-awaited deal, under which it would take 25 percent of the Sakhalin II project. Shell would lose its majority holding in Sakhalin Energy, the project operator, but gain a stake in Gazprom’s West Siberian Zapolyarnoye gas field.
    B. Concrete Platform Begins Journey to Sakhalin II Field
June 15, 2005 ( — The concrete gravity base substructure (CGBS) for the Sakhalin II Project's Lunskoye-A (LUN-A) platform has begun its epic journey to Sakhalin after being towed out of dry dock in Nakhodka. The Lunskoye CGBS and its sister CGBS for the Piltun (PA-B) platform, to be installed later this year, are among the largest concrete structures ever built in Russia.
    C. Toho Gas to Buy Sakhalin II LNG
June 7, 2005 (Japan Times Online) — The Japanese gas utility Toho Gas Co. has concluded an agreement to buy up to 500,000 tons of liquefied natural gas a year from the operator of the Sakhalin 2 gas and oil project.
    D. Japan to Receive Half of Sakhalin II LNG
May 31, 2005 (RIA Novosti, Russia) — Sakhalin Energy has signed its fifth contract for LNG with a Japanese firm, this time with Hiroshima Gas Co Ltd. This Japanese company will annually receive about 210,000 metric tons of liquefied natural gas for 20 years. All told, about half of all Sakhalin II LNG will go to Japan.