US and Russian government officials discussed several energy deals on the sidelines of Ukraine peace talks held in August, five sources familiar with the talks told Reuters.
The proposed agreements would serve as an incentive for the Kremlin to accept peace, while Washington would ease sanctions imposed on Russia after its invasion of Ukraine in February 2022, which have isolated the country from most international investment in the energy sector.
What specifically did the Americans offer the Russians?
According to three sources, the officials discussed the possibility of Exxon Mobil returning to the Russian oil and gas project Sakhalin-1. Also discussed was the possibility of Russia buying American equipment for its LNG projects, such as the Arctic LNG 2 plant, which is under Western sanctions, four sources said. In early August, Reuters also reported on the idea of ​​the United States buying nuclear icebreakers from Russia.
The talks took place during the visit of US representative Steve Witkoff to Moscow, where he met with Russian President Vladimir Putin and his investment representative, Kirill Dmitriev.
“The White House wanted to announce a sensational news story right after Alaska”
Two sources said that everything was also discussed within the White House with US President Donald Trump, and the agreements were briefly mentioned at the Alaska summit on August 15.
“The White House wanted to make a big splash after the Alaska summit, announcing a major investment deal. That way, Trump would feel like he had accomplished something,” one of the sources said.
A White House official said Trump continues to work with Russian and Ukrainian officials to achieve peace, adding that “it is not in the national interest to negotiate publicly on these issues.”
Pressure and geopolitical game
At the same time, Trump threatened to impose additional sanctions on Russia if peace talks do not progress, as well as high tariffs on India, a key buyer of Russian oil. The latest talks have focused on bilateral agreements between the US and Russia, bypassing the European Union, which has remained strong in its support for Ukraine.
It is significant that on the same day the summit was held in Alaska, Putin signed a decree that could allow foreign investors, including Exxon Mobil, to regain participation in the Sakhalin-1 project.
“US urges Russia to buy American, not Chinese, technology”
The condition is that foreign shareholders take steps to support the lifting of Western sanctions. As a reminder, Exxon left the business in Russia in 2022, recording a loss of $4.6 billion, and the Kremlin confiscated its 30% stake in the project.
One of the sources says Washington is trying to encourage Russia to buy American technology instead of Chinese, as part of a broader strategy to weaken relations between Beijing and Moscow, which just days before the invasion declared their “strategic partnership without borders.”
