TOKYO -- Russia's decision to wrest control of the Sakhalin-2 energy project has brought Japan closer to losing a valuable fuel supply right at a time when the country's electrical grid can least afford it.
Russian President Vladimir Putin signed an order Thursday mandating Sakhalin-2 assets be transferred to a newly established Russian company. The oil and natural gas development project in Russia's Far East, which includes Japanese trading houses Mitsui & Co. and Mitsubishi Corp. as investors, accounts for about 10% of Japan's liquefied natural gas imports.
