Rosneft, Japan Talks Joint Energy Project

Rosneft chief executive Igor Sechin and Japanese Prime Minister Shinzo Abe on Friday discussed joint hydrocarbon projects.

Sechin and Abe met in the resort town of Sochi where Japanese Prime Minister also held talks with Russian President Vladimir Putin.

Cooperation in the sphere of application of the latest technologies in the field of oil and gas production and processing, participation of Japanese companies in the mining projects of Rosneft and collaboration in the creation and development of the shipbuilding industry were some of the issues discussed between Sechin and Abe, Rosneft said in a press note.

The two sides stressed upon ensuring Japan’s long term energy security. Currently, Rosneft supplies about a third of the total volume of oil exported by Russia to Japan.

Rosneft has also been working with Japanese banks (Sumitomo Mitsui Banking Corporation, The Bank of Tokyo-Mitsubishi UFJ and Mizuho Bank) since 2004. Between 2011 and 2016, Japanese banks provided the company loan of $3.1 billion.

Japan has been looking to expand its footprint in Russian energy space. Tokyo is in talk with major Russian energy firms to further boost cooperation. In February, Novatek's head Leonid Mikhelson Japanese companies are interested in investing in Novatek’s new LNG project. In March, Russian gas giant Gazprom and Toyohisa Kozuki, Ambassador Extraordinary and Plenipotentiary of Japan to Russia discussed energy issues including LNG projects.