SLB, a prominent oilfield service provider, announced on Friday that its business operations in Russia continue to comply with the latest U.S. sanctions, despite a noticeable decline in revenue from the region. This statement comes amid the backdrop of escalating tensions following Russia’s 2022 incursion into Ukraine. SLB stands out as one of the few Western companies still active in the Russian market.
During an earnings call, CEO Olivier Le Peuch conveyed that the company is actively reviewing the newly imposed sanctions. He expressed confidence that the proactive adjustments SLB has made to its business operations align well with these updated restrictions.
Le Peuch noted that SLB’s revenue from its Russian operations has been on a downward trend, now representing only 4% of the company’s total revenue, compared to 5% in the previous year.
Adding to the complexity, earlier this month, the U.S. Treasury updated an executive order. This amendment specifically aims to restrict Russia’s access to U.S. services that are integral to the extraction and production of crude oil and other petroleum products, with these changes set to take effect on February 27.
The report originated from Arathy Somasekhar in Houston and underwent editing by Chizu Nomiyama.
