Exxon Is Leaving Its Latest Russian Project

With the termination of its Sakhalin-1 project in Russia, Exxon is joining a growing list of energy companies, including BP (BP) and Shell, who announced their intention to leave Russia. Other western companies, including Apple (AAPL), Ford (Ф) and General Motors (GM) they have also distanced themselves from Moscow in recent days.

“ExxonMobil supports the people of Ukraine as they seek to defend their freedom and define their own future as a nation,” the company said in a statement. “We condemn Russia’s military actions, which violate Ukraine’s territorial integrity and threaten its people.”

Sakhalin-1 is “one of the largest single international direct investments in Russia,” according to the project’s website. Exxon Neftegas Limited, a subsidiary of Exxon, has a 30% stake and serves as an operator. Russia’s Rosneft also has a stake.

An Exxon spokesman confirmed to CNN that this is the company’s last remaining Russian project. With the departure of this project, Exxon will end more than a quarter of a century of business presence in Russia.

Exxon, the largest oil company in the United States, was a glaring omission among major brands that have severed ties with Russia. The company manages the Sakhalin-1 project on behalf of a consortium that includes Russian, Japanese and Indian companies.

“In response to recent developments, we are beginning the process of terminating operations and developing steps to exit Sakhalin-1,” Exxon said.

The company has not detailed the financial consequences of terminating a project in which it has invested significant resources over the years.

Exxon has signaled that it will not be released overnight, saying it has a duty to ensure the safety of people and the environment when it leaves the project.

“The process of terminating operations will need to be carefully managed and closely coordinated with co-founders to ensure that it is carried out safely,” the company said.