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Kuril Islands Essay Topics & Paper Examples

Journey to Sakhalin: Royal Dutch/Shell in Russia

The main factor that makes the Sakhalin project attractive for Royal Dutch Shell (RDS) is macroeconomic: the quantity of the estimated reserve of gas and oil around Sakhalin (exhibit 4) combined to Russia‚Äôs dominant player position on both markets are likely to provide RDS as a supplier with a strong bargaining power once the reserves can be exploited. Besides, the overwhelming part of energy in the Russian GDP lets suppose that efforts would be made if, for example, additional infrastructures are needed. The geopolitical situation, to the extent that this project is not located in the Middle-East, could at the first glance be an advantage as well, because the political and social situation of this part of Russia seems to…