Published: Sep 13, 2006
MOSCOW (AFX) – Russia’s Natural Resources Minister Yury Trutnev has criticized cost overruns at the vast Sakhalin-2 oil and gas project in the Russian Far East led by Royal Dutch Shell.
Under the production-sharing agreement that governs the project, the state receives a share of revenues once the initial investment has been paid off. However, Shell announced in July 2005 that the investment required to develop the project had doubled to 20 bln usd from 10 bln usd, meaning that the Russian government will have to wait much longer for its share of revenues.
“If these intentions are carried out, the Russian Federation will lose 10 bln usd,” Trutnev said in a statement released by his ministry.
Trutnev said that he did not want to call into question the agreement, which ensures stable tax conditions for the investors, but he stressed that respect for the conditions of the agreement were “obligatory for both sides.”
“The Russian Federation is required to defend its interests,” Trutnev said.
Last week Russia’s state environmental agency launched a legal challenge that could block work at Sakhalin-2, a move analysts linked to a breakdown in talks between operator Sakhalin Energy and state gas monopoly Gazprom, which is seeking a 25 pct stake in the project.
The two companies agreed in 2005 to a swap in which Gazprom would receive 25 pct of Sakhalin-2 in exchange for 50 pc t of Gazprom’s Zapolyarnoye natural gas field in Siberia.
Just weeks after reaching an agreement, however, Sakhalin Energy revised its cost estimates to 20 bln usd, leading Gazprom to call the swap unfair and demand better terms.
The project is currently 55 pct-owned by Shell, with the remaining stake split by Japanese companies Mitsui (25 pct) and Mitsubishi (20 pct).
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Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
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A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
