Sakhalin-II is an intergrated, export-oriented oil and gas development, and Russia’s first offshore gas project. It handles production from Piltun-Astokhskoye oil field and the Lunskoye natural gas field in the Okhotsk Sea, and is managed and operated by Sakhalin Energy Investment Co. Ltd. Shareholders of Sakhalin Energy include Gazprom (50% +1 share); Shell (27.5% - 1 share); Mitsui (12.5%); and Diamond Gas Sakhalin, a subsidiary of Mitsubishi (10%).
The Sakhalin-2 LNG plant is Russia’s first, built at Prigorodnoye in Aniva Bay, 13 km (8.1 mi) east of Korsakov. The oil export terminal is east of the LNG plant on Aniva Bay [see cover photo].
Oil and natural gas now account for 95% of Sakhalin’s exports. The first LNG train began shipping in 2000, with 20-year contracts in place, and 60% of production heading to Japan.
When the project reaches full capacity, it is projected to be able to supply 5% of the world’s gas supply.
