By Justin Scheck
LONDON-- Royal Dutch Shell PLC said Wednesday that it withdrew
from negotiations over an offshore exploration deal in the Black
Sea, west of Crimea. Shell made the decision to pull out in
January, a spokesman said.
The Anglo-Dutch energy major was part of a group of companies
including Exxon Mobil Corp. that struck a deal with the Ukraine
government to develop the offshore Skifska oil-and-gas field.
"In the Ukraine, we maintain our interest in the Skifska
license, but it is on hold due to current circumstances," Exxon
Senior Vice President Andrew Swiger told analysts at a meeting
earlier this month.
The Ukrainian government announced the deal in 2012, but a Shell
spokesman said Wednesday that Shell still hadn't signed the
agreement at the time it pulled out in January. The spokesman said
Shell is still pursuing other Ukraine projects, including
exploration for "tight" natural gas in underground rock
formations.
Shell's withdrawal preceded pullouts from the region by Ford
Motor Co. and retailer Metro AG. Ford earlier this week said it
would reassess a Russian joint venture. Metro postponed plans to
issue an initial public offering of its Russian Cash & Carry
business.
Daniel Gilbert contributed to this article.
Write to Justin Scheck at justin.scheck@wsj.com
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