US and Russia discuss energy agreements behind closed doors - Reuters

American and Russian officials discussed several energy deals on the sidelines of talks in August. These proposals were seen as an incentive for the Kremlin to agree to peace in Ukraine and for Washington to ease sanctions against Russia, Reuters reports.
According to the agency, after the invasion of Ukraine in February 2022, Moscow lost access to international investment in the energy sector. It was also banned from entering into large deals.
Possible projects and return of Exxon Mobil
According to three sources, the possibility of Exxon Mobil returning to the Sakhalin-1 project was discussed. Another idea was to supply American equipment for Russian LNG projects, such as Arctic LNG 2, which are under Western sanctions.
Reuters also reported that the idea of the US purchasing Russian nuclear icebreakers was discussed. Sources emphasize that these negotiations are not being commented on publicly.
Meetings in Moscow and Alaska
The negotiations took place during a visit by US Special Envoy Steve Witkoff to Moscow, where he met with Vladimir Putin and his representative Kirill Dmitriev. Two sources said the topic was also discussed at the White House with Donald Trump.
The agreements were also raised at the summit in Alaska on August 15. "The White House really wanted to put out a headline after the Alaska summit, announcing a big investment deal," says one of the sources. "This is how Trump feels like he’s achieved something."
Reaction and lack of comments
US officials said that negotiations with Russia and Ukraine are continuing to stop the war. White House representative says it is not in the national interest to discuss these issues publicly.
Dmitriev's representative declined to comment. Exxon Mobil also declined to comment. Rosneft and Novatek did not respond to journalists' inquiries.
Threats of sanctions and Trump's trading style
Trump has threatened new sanctions against Russia if peace talks fail. In addition, he is ready to impose tough tariffs on India, one of the largest buyers of Russian oil.
Earlier this year, options for resuming Russian gas supplies to Europe were discussed. However, the plans were blocked by Brussels, which intends to completely abandon Russian gas imports by 2027.
Shift to bilateral agreements
Recent negotiations have shifted the focus to bilateral agreements between the US and Russia. This demonstrates a departure from the format involving the EU, which remains a staunch supporter of Ukraine.
On the day of the summit in Alaska, Putin signed a decree allowing foreign investors, including Exxon Mobil, to regain their shares in Sakhalin-1. The condition is support for the lifting of Western sanctions against Russia.
Arctic LNG 2 and competition with China
Exxon left Russia in 2022 after the invasion of Ukraine, writing off losses of $4.6 billion. Its 30% stake in the Sakhalin-1 project was confiscated by the Kremlin.
The Arctic LNG 2 project has faced several rounds of US sanctions, including a ban on specialized vessels. Despite this, the plant resumed gas processing in April, albeit at limited capacity.
Washington is considering encouraging Moscow to purchase American technology instead of Chinese. This is part of a strategy to weaken ties between Russia and China.
Russia and China declared a partnership without borders a few days before the start of the war against Ukraine. Over the past decade, Xi Jinping has met with Putin more than 40 times. Putin himself has repeatedly called China an ally in recent months.