The Future of Sakhalin-3

Russia would like to keep U.S. oil giants ExxonMobil and ChevronTexaco on the Sakhalin-3 project, but have the companies pay extra cash for the rights, according to Russia's Energy Minister Igor Yusufov.

In January, Russia said it would offer Sakhalin-3 at an open tender even though it was awarded to Exxon and Chevron under a production sharing agreement (PSA) a decade ago.

Exxon has said it is no longer seeking a PSA deal, which guarantees a lifetime stable tax regime, and is ready to tap Sakhalin-3 on a regular tax regime.

The government still plans to proceed with the announced tender.