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Sakhalin Energy Нolds a Dialogue in Preparation of 2022 Sustainable Development Report

By using a face-to-face format the event offered broader opportunities to engage stakeholders by inviting those outside the island region to share their views on the content of the corporate document. Regional executive authorities, contractors, social and environmental partners, educational and cultural institutions, northern indigenous communities, and NGOs attended the meeting.

During the dialogue with stakeholders, the Company presented preliminary reports on 2022 performance in key areas. Every one of them is in line with the new theme of the upcoming report Energy: Pioneers, which, among other things, includes innovative development, corporate culture, and environmental and social responsibility.

Evgeny Mikhalyov, Onshore Asset Support Manager, outlined aspects of corporate governance and Russian content development efforts, which is becoming increasingly important in the context of global transformations. “In 2022, Sakhalin Energy brought together the resources of the company and those of contractors to form a Unified Integration Centre, a new business management tool to manage the planning and delivery of materials. Such a ‘unifying’ approach through services localisation seeks to develop a resource and competence system independent of global changes, thus allowing for stable operations regardless of the circumstances,” Yevgeny Mikhalyov noted.

The new corporate tool stirred up a lot of interest among the attendees. Nadezhda Nikitina, Head of PSA Implementation Department in the Ministry of Economic Development, suggested that the report should focus not only on the Unified Integration Center, but on other mitigations enabling the company to remain stable in the current situation. She also mentioned the training of local workforce for the oil and gas industry and how the Sakhalin-2 project operator contributes to professional development of Sakhalin graduates. “The Company is extensively cooperating with regional educational partners such as Sakhalin State University, including the Sakhalin Technical College, on the one hand, and the Human Capital Development Agency, on the other hand,” said Yakov Pyak, Head of Professional Learning Subdivision.

Andrey Samatov, Head of Corporate Environmental Division, presented information on Sakhalin Energy's continued participation in the regional carbon neutrality experiment since its launch on 1 September 2022, and has actively contributed to setting up the programme for the experiment. He added that, in responding to the global climate challenge, the company began to develop a strategy and an action plan for adapting to climate change.

Alexey Knizhnikov, Head of the Responsible Industry Program at WWF Russia, noted that despite the external turbulence with many companies now closing their information, especially in the environmental area, Sakhalin Energy remains open and maintains a steady dialogue with all stakeholders.

There were some topics related to company public engagement, including that with the Sakhalin indigenous minorities. Sakhalin Energy's efforts in this area was a special focus of discussion, particularly in the context of ESG aspects used to assess the social responsibility of the business. Ekaterina Koroleva, a member of the Sakhalin Oblast Public Chamber, commended the Sakhalin-2 project operator for systemic efforts during the year of launching the International Decade of Indigenous Languages and the Year of the Cultural Heritage of the Peoples of Russia.

Sakhalin Energy will have a second round of dialogue next February, providing more details on the 2022 performance.

18 November 2022

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