Shell Exits Russia amid Invasion of Ukraine
SHELL – The British energy company will take between $4 to $5 billion hit after its withdrawal from its deals with Russia.
The move of Russia to invade Ukraine gained international attention. Many lives were lost amid the war and the casualties include civilians – even children. Countless hearts were left broken by what is happening between the two (2) territories.
Ukraine President Volodymyr Zelenskyy has even joined their country’s army to defend their nation. On the part of Russia, the superpower has initially warned other nations that those who will intervene may suffer the consequences.
A lot of nations expressed their condemnation of the move of Russia to invade Ukraine. Expressing their support to the Ukrainian government and its people, many company giants also stopped their operations in Russia.
Under the United Kingdom’s policy, British energy giant Shell has announced in March its exit from Russia. Based on a report on ABS-CBN News, the oil giant also announced its immediate stop on the purchases of Russia’s crude oil.
Based on the report, Shell will be facing a hit of between $4 billion to $5 billion following its exit from Russia. The expenses are from the impairment of assets and the additional charges. In February, the British oil giant has announced its decision to sell all its shares in its joint ventures with Gazprom, an energy company owned by Russia.
Then, the British oil giant reportedly said that the ventures were worth around $3 billion. The company has previously bought a cargo of Russian oil at a discounted price. The company apologized for the said move and expressed regrets that it happened. Its rival company, BP, also announced its exit from Russia amid its invasion of Ukraine.
BP announced that it would pull out its shares in Rosneft. Prior to the ongoing tension between Ukraine and Russia, the oil giant has been investing in Russia for more than 30 years already.
You may also read – Oil Price Hikes May Continue until May, DOE Official Says