OPERATIONS

Sakhalin gas earmarked for Japan

Despite not having decided which export route is to be considered, the Sakhalin 1 project has been earmarked to supply Japan with natural gas by 2008.

China is another nearby market - and while it is deemed the more profitable route - the operators of the project do not believe that the country is capable of consuming the expected production of 10 billion cubic metres of natural gas.

The Exxon operated Sakhalin 1 has gas reserves believed to be around 485 billion cubic metres.

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