TotalEnergies to not renew oil supply contracts with Russia
TotalEnergies said it would rather get gasoil from Saudi Arabia and crude via Poland instead. The company added that long-term contractual supplies from Russia would halt by the end of this year
• The oil giant will not renew crude supply contracts at its Leuna refinery in Germany
• The company will get gas oil from Saudi Arabia and crude oil from Poland instead
French oil firm TotalEnergies (NYSE: TTE) said it would not renew its oil supply contracts with Russia on Tuesday, after facing criticism for not taking action against Moscow.
The company said it would not renew crude supply contracts for its 240,000-barrel-per-day Leuna refinery in Germany, which get supplies from Russian Druzhba pipeline.
TotalEnergies said it would rather get gasoil from Saudi Arabia and crude via Poland instead. The company added that long-term contractual supplies from Russia would halt by the end of this year.
"TotalEnergies has unilaterally decided to no longer enter into or renew contracts to purchase Russian oil and petroleum products, in order to halt all its purchases of Russian oil and petroleum products as soon as possible and by the end of 2022 at the latest," the company said in a statement.
The oil giant said European sanctions and Russian laws controlling foreign investment prevent TotalEnergies from finding a non-Russian buyer for its assets.
"Abandoning these interests without consideration would enrich Russian investors, in contradiction with the sanctions' purpose."
Oil major Shell had earlier announced cutting ties in Russia with Gazprom and other related entities.
Picture Credits: Reuters
