Gribov Andrei Aleksandrovich/Shutterstock Save for later Print Download Share LinkedIn Twitter Chinese and Indian oil companies stand to benefit from the exodus of Western rivals from Russia's upstream — if they can manage the risks. There is an air of déjà vu in the current crisis over Ukraine: Russia opened its doors to Chinese and Indian companies after the West introduced sanctions on energy investments in Russia’s deepwater, unconventional and offshore sectors following the 2014 annexation of Crimea. It now appears that Moscow must accelerate this pivot to Asia as Western oil companies retreat from Russia. Beijing and New Delhi’s refusal to denounce the Russian invasion has set them apart in a world widely united in condemning it. There is no denying that Russia’s vast upstream and LNG sectors hold appeal for the two Asian powerhouses, even as they implement energy transition plans. Their rapidly growing energy demand will require more oil and gas in coming years, and both India and China would be better positioned if they can acquire stakes in oil and gas projects at bargain prices. Still, it will take time for new investments to be finalized, Chinese and Indian sources tell Energy Intelligence, as they ponder the risks of potential Russian investments, which could include secondary sanctions.
