Expected US State Secretary headed Sakhalin-1 through offshore 

Expected US State Secretary headed Sakhalin-1 through offshore
Rex Tillerson and Vladimir Putin

Rex Tillerson, a ‘friend of Putin’ and a business partner of Igor Sechin, was a member of management of the company, registered in the Bahamas.

Rex Tillerson, the CEO of the largest oil and gas company ExxonMobil, in 1998 was a chairman of the Board of Directors of Exxon Neftegas Limited - a company engaged in oil and gas exploration on Sakhalin. The Sakhalin-1 project was implemented under the terms of the production sharing agreement. 30% shares of the company belonged to Exxon Mobil, 30% - Sodeco, 20% - Rosneft, and 20% - ONGC. At the same time, as reported by The Centre for Public Integrity with reference to the Dossier Bahamas documents, an operator of the project, Exxon Neftegas Limited company, was registered in offshore in the Bahamas, and, according to the documents, Tillerson had been its CEO since 2001. Moreover, Scott Silvestri, a representative of Exxon, did not deny the company’s registration in offshore, and explained that the Bahamian residency has no effect on Exxon Mobil's tax payments in the countries, where the company gets its main income. Besides, in April last year, Exxon Mobil filed a claim to the Stockholm Arbitration Court on return of money in the amount of $500 million from Russia, which the company allegedly had overpaid. The company is ready for a compromise - to receive a half of this sum, in case tax calculation is revised. As believed in Exxon Mobil, the tax rate should be 20%, instead of current 35%.

Silvestri did not give comments whether Tillerson to abandon his assets in Exxon Mobil after leaving the post of CEO. It is known that the company’s shares owned by Tillerson reach 218 million dollars.

Therefore, Tillerson becoming a candidate for the Head of the State Department made so much noise in the United States. The main question: whether the owner of the Russian Order of Friendship to lobby his interests (and interests of Russia as well) at the expense of the US? Moreover, in addition to Sakhalin-1 project, Exxon runs another projects with Russia. In 2011, Tillerson made a deal providing the company’s access to Russian Arctic resources and allowing Rosneft to invest in Exxon Mobil concession worldwide. What is important, the sanctions imposed by the US on Russia in 2014 make real difficulties in cooperation between the companies.

However, before Tillerson becomes the Secretary of State, his candidacy must be approved by the Senate.

Documents

Discuss

Recommended

1 / 3