ExxonMobil Corp. released a statement that the company is complying with all US sanctions on Russia after news reports that the operator had halted operations on its first arctic exploration well—University-1—in Russia’s Kara Sea. In an energy industry brief, Raymond James & Associates Inc. analysts Darren Horowitz and Edward Rowe noted, “This being the first major exploration prospect drilled in the Russian Arctic, the well (part of a joint venture with [OAO] Rosneft) has garnered an exceptionally high profile in the media—even though its results would be completely inconsequential for production and reserves over any investable timeframe….” By halting the well, the analysts noted, “it appears that Exxon was unable to find a creative ‘workaround’ to last week’s tightened US and [European Union] sanctions on technology transfer to Russia.” In its statement, the supermajor said, “The US Treasury Department, recognizing the complexity of the University-1 […]