SLB, the global oilfield services giant, has reported a continued decline in its revenue from Russia as a result of voluntary measures and new US sanctions targeting the country’s oil industry. Speaking during the company’s quarterly earnings call, CEO Olivier Le Peuch revealed that Russia accounted for only 4% of SLB’s global revenue in 2024, down from 5% the previous year.
Since the start of Russia’s war in Ukraine in 2022, SLB has taken steps to reduce its involvement in the country, including halting shipments of products and technology from all its facilities worldwide. These voluntary measures were further reinforced after the US Treasury introduced sanctions last week, restricting Russia’s access to US services related to crude oil and petroleum extraction.
Le Peuch commented on the evolving situation:
“Our revenue in Russia continues to decline. Since the start of the conflict, we have curtailed our Russia activity, including halting product and technology shipments to Russia in 2023. We are now reviewing the new US sanctions and believe our voluntary measures align with these restrictions.”
The new sanctions follow growing scrutiny from US lawmakers, especially after reports suggested that SLB had expanded its operations in Russia despite public assurances to the contrary. While Le Peuch did not directly address this criticism, he reaffirmed SLB’s commitment to compliance with international regulations.
Despite these challenges, SLB exceeded analyst expectations for its fourth-quarter earnings, showcasing resilience amid geopolitical and market pressures.
