Trutnev: Preserving PSA status for Sakhalin projects for five years under discussion

YUZHO-SAKHALINSK/MOSCOW. July 7 (Interfax) - Preserving production-sharing agreement or PSA status for the Sakhalin oil and gas projects for five years is being discussed, Deputy Prime Minister Yury Trutnev, who is also the president's envoy to the Far East Federal District, said at a conference in Yuzhno-Sakhalinsk.

Commenting on the exit of foreign companies from the Sakhalin projects, he said: "Preserving PSA status is of fundamental importance for the Sakhalin region's budget in today's conditions. I have discussed this issue preliminarily with the Russian Finance Minister. His position and my position are that we will not change the PSA for five years. Clearly this still needs the government's consideration and approval, but for now I hope that this is how things will turn out."

The conference is looking at the situation with the Salhaln-1 and Sakhalin-2 projects and the outlook for developing Sakhaln-3 project fields.