By ANNE D’INNOCENZIO – AP Business Writer
NEW YORK (AP) — Baker Hughes, a major U.S. oil services company, added its name Saturday to the growing list of U.S. companies withdrawing from Russia in response to Moscow’s war on Ukraine.
Baker Hughes made his announcement a day after similar moves by oil rivals Halliburton Co. and Schlumberger. The Houston-based companies’ moves come as they respond to US sanctions over Russia’s invasion of Ukraine.
Baker Hughes, also headquartered in London, said in its statement that the company is suspending new investment for its Russia operation and is complying with applicable laws and sanctions while honoring current contractual obligations. The announcement follows an internal decision made with its board of directors and shared with its senior leadership team.
“The crisis in Ukraine is a matter of great concern and we strongly support a diplomatic solution,” said Lorenzo Simonelli, Chairman and CEO of Baker Hughes.
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Halliburton announced on Friday that it is ceasing future business in Russia. Halliburton said it halted all shipments of certain sanctioned parts and products to Russia a few weeks ago and will prioritize safety and reliability as it conducts its remaining operations in the country.
Schlumberger said it has suspended investment and use of technology for its Russia operations.
“Security is at the core of who we are as a company and we are urging an end to the conflict and the restoration of security and safety to the region,” Schlumberger CEO Olivier Le Peuch said in a statement.
As the war rages on, deadly violence and the humanitarian crisis deepen, the remaining companies are under increasing pressure to leave the country.
More than 400 U.S. and other multinational companies have either permanently or temporarily withdrawn from Russia, according to Jeffrey Sonnenfeld, senior associate dean for executive programs at Yale University’s School of Management, who has published a list of corporate actions in Russia.
Oil companies ExxonMobil, Shell and BP were among the first to announce their exit or closure, along with some big tech companies like Dell and Facebook. Many others followed, including McDonald’s, Starbucks, and Estée Lauder. Around 30 companies remain.
Ukrainian President Volodymyr Zelenskyy on Wednesday urged Congress to urge US companies still operating in Russia to leave, saying the Russian market was “flooded with our blood.”
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