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Sakhalin-2 project gas prices may double due to black whales

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TOKYO, July 16 (RIA Novosti, Andrei Fesyun) - Black whales may be the reason for doubling of gas production prices under the Sakhalin-2 project, a Japanese newspaper said.

According to Nihon Keizai newspaper, the cost of the gas production may reach $40 billion due to the need to change the course of the gas pipeline in order to detour the reproduction area of rare species of black whales.

The main share of production and expenses in the Sakhalin-2 project (55%) belong to the Anglo-Dutch company Royal Dutch Shell. However, Japanese Mitsui and Mitsubishi with 25% and 20% share in the project respectively will be forced to increase their expenses as well, the newspaper said.

The stock of oil, which produced in the Sakhalin-2 deposits since 1999, is one billion barrels. The stock of natural gas, which will be produced starting in 2008, is estimated at 408 billion cubic meters.

According to the project's plan, the gas will be transported via the pipeline from the deposits in the northern part of the Sakhalin Island to its southern part, where it will be liquefied and delivered to Japan and other countries by oil tankers.

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