Russian energy company Gazprom laid off its entire company of workers on Tuesday after the Nordstream 2 pipeline was crippled by financial sanctions against the country.
The move follows Russia’s invasion of Ukraine, which has seen the the international community introduce extreme measures against Russian businesses.
Shell is also scheduled to exit approximately £2.25 billion worth of joint-ventures with Gazprom.
The UK oil producer announced that it will be severing its 27.5% stake in the Sakhalin-II liquefied natural gas facility, alongside its 50% stake in the Salym Petroleum Development and the Gydan energy venture.
“Our decision to exit is one we take with conviction,” said Shell CEO Ben van Beurden.
“We cannot – and we will not – stand by. Our immediate focus is the safety of our people in Ukraine and supporting our people in Russia.”
“In discussion with governments around the world, we will also work through the detailed business implications, including the importance of secure energy supplies to Europe and other markets, in compliance with relevant sanctions.”
The news follows BP’s exit from its 19.75% stake in Russian-owned Rosneft after pressure from the government to drop its financial links to the country.
“The Rosneft holding is no longer aligned with BP’s business and strategy and it is now the board’s decision to exit BP’s shareholding in Rosneft,” said BP chair Helge Lund
“The BP board believes these decisions are in the best long-term interests of all our shareholders.”