Gazprom, the Russian state-owned energy behemoth, reported a €45 million (£39 million) profit from its operations in the North Sea’s Sillimanite gas field, leading to increased demands for more stringent actions against the company.
The UK branch of Gazprom disclosed in its financial statements that it remains profitable from the Sillimanite field, located in both the UK and Dutch sectors of the North Sea.
In 2022, Gazprom International UK declared a €45 million profit and distributed a €41 million dividend to its parent company in the Netherlands, with an additional €1.7 million dividend paid in June.
Gazprom, predominantly controlled by the Russian government and headquartered in Moscow, is Russia’s largest oil and gas producer.
Following Russia’s invasion of Ukraine, the UK government has sanctioned several of Gazprom’s senior executives, including CEO Alexei Miller.
The revelation of these profits has intensified demands for more robust measures to prevent Russia from benefiting financially from UK gas fields, which could support its military actions in Ukraine.
Sir Ed Davey, the Liberal Democrats’ leader, criticized the situation in an interview with the BBC, stating that it is “totally unacceptable” for North Sea gas to aid “Putin’s illegal war against Ukraine.”
Global Witness, an advocacy group, condemned the UK’s handling of Russian oil and gas, arguing that it’s contradictory for the UK to condemn the war while allowing a Russian state-owned company, which reportedly has forces involved in Ukraine, to profit from North Sea resources.
A UK government spokesperson emphasized the commitment to intensifying economic pressure and targeting any loopholes until Ukraine triumphs and peace is restored, asserting that Putin and his allies will face consequences for their unlawful invasion of Ukraine.
Despite numerous sanctions imposed by Western nations on Russia since the invasion of Ukraine, efforts to target Russia’s extensive oil and gas sector have been hindered by Europe’s dependence on Russian energy imports.
European nations continue to import gas from Gazprom, although the quantities have significantly decreased since the onset of the war.
Gazprom International UK, focusing on sales outside of Britain, reported an 8% increase in its revenue last year, reaching £62.5 million.
The UK energy supply division of Gazprom, which previously catered to almost 20% of British businesses, was taken over by the German government and nationalized last year.
