Economics

18:32, 07.08.2008 | Sakhalin Region

ExxonMobil's Sakhalin-1 project will be inspected for adherence to operational and environmental regulations, the country's industrial safety watchdog said Wednesday.

The Federal Service for Environmental, Technological and Atomic Inspection will also inspect the neighboring Sakhalin-2, an oil and gas project controlled by Gazprom, the agency said in a statement. Royal Dutch Shell is a minority partner in Sakhalin-2.

The checks, which will be conducted within the next two weeks, are part of the service's routine annual inspections plan, the statement said.

Shell was forced in 2006 to cede to Gazprom control of its biggest project in the country, the $22 billion Sakhalin-2 oil and gas project, amid threats by regulators to revoke permits on environmental grounds.

n Sakhalin-1, one of three production-sharing agreements in Russia, moved to profitability in June after paying back costs, Interfax reported Wednesday, citing a source close to the project.