Baker Hughes joins oil rivals in suspending Russian operations | Economic news

By ANNE D’INNOCENZIO, AP Business Writer

NEW YORK (AP) — U.S. oil services company Baker Hughes said Saturday it was suspending new investment for its operations in Russia, a day after rivals Halliburton Co. and Schlumberger announced similar measures.

The Houston, Texas-based companies are stepping in as they react to US sanctions over Russia’s invasion of Ukraine.

In its statement, Baker Hughes, which is also headquartered in London, said the company is complying with applicable laws and penalties to the extent it meets its current contractual obligations. He said the announcement followed an internal decision made with his board and shared with his management team.

“The crisis in Ukraine is very concerning and we strongly support a diplomatic solution,” said Lorenzo Simonelli, president and CEO of Baker Hughes.

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Halliburton announced on Friday that it was suspending future activities in Russia. Halliburton said it halted all shipments of sanctioned parts and specific products to Russia several weeks ago and will prioritize safety and reliability as it winds down its remaining operations. in the country.

Schlumberger said it has suspended investment and deployment of the technology in its operations in Russia.

“Safety and security is at the core of who we are as a company, and we call for an end to the conflict and a return to safety and security in the region,” said Schlumberger CEO, Olivier Le Peuch, in a statement.

As the war continues and the deadly violence and humanitarian crisis worsen, the businesses that remain are under increasing pressure to leave.

More than 400 American and multinational companies have pulled out of Russia, either permanently or temporarily, according to Jeffrey Sonnenfeld, senior associate dean of executive programs at Yale University’s School of Management, who posted a list of operations on companies in Russia.

Oil companies ExxonMobil, Shell and BP, along with some big tech companies like Dell and Facebook, were among the first to announce their withdrawal or suspension of operations. Many others, including McDonald’s, Starbucks and Estee Lauder, followed. There are about 30 companies left.

Ukrainian President Volodymyr Zelensky on Wednesday called on Congress to pressure U.S. companies still operating in Russia to leave, saying the Russian market is “flooded with our blood.”

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