LONDON, March 10 — Shell faces writedowns on US$400 million (RM1.6 billion) in Russian downstream assets, it said today, having announced US$3 billion worth of other projects previously.

The oil major announced on February 28 that it would quit its ventures in Russia with Gazprom GAZP.MM and related entities including the flagship Sakhalin 2 liquefied natural gas (LNG) plant and the Nord Stream 2 pipeline project. Read full story

"It is expected that these decisions ...will impact the carrying value of the related assets and lead to recognition of impairments in 2022,” Shell said in its annual report on Thursday.

The downstream assets come on top of US$3 billion mentioned in its February 28 announcement, a company spokesperson said.

Shell’s looming writedowns come amid a mass exodus of western oil majors, which includes BP facing a US$25 billion writedown for its planned divestment of Russian assets.

France’s TotalEnergies has said it is sticking with its Russian investments. — Reuters