Schlumberger Agrees to Transfer Control Over EDC to Russia in Case of Sanctions
AP Photo/ Pat SullivanBusiness12:27 19.12.2017(updated 12:36 19.12.2017) Get short URL
MOSCOW (Sputnik) – US-French oil services giant Schlumberger has agreed to transfer control over Russia’s Eurasia Drilling Company (EDC) and its controlling stake to the Russian side in case anti-Moscow sanctions present problems, the Russian Federal Antimonopoly Service (FAS) Deputy Head Andrey Tsyganov said Tuesday.
Tsyganov told reporters that the watchdog was discussing two conditions with Schlumberger, “the transfer of operational control to the Russian management team… And the second — to sell this package so that the control went to a Russian company or a company that does not fall under these sanctions. On these two points we have also agreed.”
In July, Schlumberger announced its intention to acquire 51 percent of EDC shares, with the company agreeing to the proposal.
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Later, Russian Deputy Prime Minister Arkady Dvorkovich said that the deal stalled due to unpredictability of US sanctions.
According to Russian Minister of Natural Resources and Environment Sergei Donskoi, Moscow needs guarantees that the work of EDC will not be affected by the US sanctions should the company’s shares be acquired by Schlumberger. The deal also required approval by FAS.