Houston, Texas-based businesses are suspending operations in Russia in response to US sanctions against Russia’s aggression in Ukraine.
NEW YORK – U.S. oil services companies Hollyburton Co. and Schlumberger say they are suspending operations in Russia because Houston, Texas-based businesses have responded to U.S. sanctions on Russia’s invasion of Ukraine.
Halliburton announced on Friday that it had suspended future business in the country because the company complied with sanctions that barred transactions and work for some state-owned Russian customers. Halliburton said it would prioritize security and reliability because it would shut down its remaining operations in Russia.
Halliburton said it had stopped all shipments of certain approved parts and products to Russia several weeks ago. Halliburton says there is no active joint venture.
Schlumberger said Friday that it had immediately suspended investment and technology installations in its Russian operations. It says it will continue to actively monitor this “dynamic” situation.
“Safety and security are at the core of who we are as a company, and we call for an end to the conflict in the region and for the restoration of security and safety,” Schlumberger CEO Olivier Le Peuch said in a statement.
As the war continues and deadly violence and humanitarian crises worsen, the pressure to leave the remaining companies is mounting.
According to Jeffrey Sonenfeld, senior associate dean at Yale University’s School of Management Executive Program, more than 400 U.S. and other multinational corporations have permanently or temporarily withdrawn from Russia, which has published a list of corporate actions in Russia.
Oil companies ExxonMobil, Shell, and BP, along with some big technology companies like Dell and Facebook, first announced the withdrawal or suspension of their activities. Many more followed, including McDonald’s, Starbucks and Estee Lauder. There are about 30 companies left.
Ukrainian President Volodymyr Zelensky on Wednesday called on Congress to pressure U.S. businesses that are still operating in Russia to leave, saying Russian markets were “flooded with our blood.”