US oilfield firms Halliburton & Schlumberger suspend Russian operations amid Ukraine war

In the wake of the stringent economic sanctions imposed by the West against Russia's unprovoked aggression in Ukraine, US-based oilfield services companies Halliburton Co (HAL.N) and Schlumberger on Saturday announced the suspension of operations in Moscow. Notably, a few weeks ago, Halliburton had halted all shipments of specific sanctioned parts and products to Russia. While announcing the decision, Halliburton CEO Jeff Miller stressed that since the onset of the war, employees' safety and reliability have been their priority.

In a statement, Jeff Miller said, "The war in Ukraine deeply saddens us. We have employees in both Ukraine and Russia, and the conflict greatly impacts our people, their families, and loved ones throughout the region."

The development comes close in the heels of widespread departures by energy, retail, and consumer goods businesses and a series of European Union and the US bans on providing oil technology to Russia or importing the latter's energy products.

The Schlumberger company said in a statement that it has ceased new investment and technology deployment while continuing with existing activity in compliance with international laws and sanctions. Meanwhile, Oilfield services provider Baker Hughes has refused to comment on its Russia operations. 

Energy supermajors including the likes of BP and ExxonMobil have pledged to exit Russia in the wake of the US sanctions on Moscow, placing a ban on American imports of Russian oil, natural gas, and fuel products. The London-based multinational British Petroleum has abandoned its 19.75% stake in Rosneft in late February following Russia's conflict in Ukraine. This decision resulted in charges for BP of up to $25 billion.

Canadian oil company Calfrac to remain in Russia

Despite energy companies having deserted Russia amid the Ukraine crisis, a Calgary-based oil company, Calfrac Well Services Ltd., has decided to stay put in Western Siberia where it conducts extraction services for Russia’s largest oil producer. It is one of the largest hydraulic fracturing companies in the world and is still “evaluating the options” for its Russian operations but further did not indicate joining the hundreds of companies that have already left the country.

(Image: AP)