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Environmental watchdog to start Sakhalin-I probe in Jan.

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MOSCOW, December 12 (RIA Novosti) - Russia's environmental watchdog will begin an inspection of the Sakhalin-I oil and gas project off Russia's Pacific coast in January, the agency's deputy head said Tuesday.

"The inspection of Sakhalin-I will definitely begin in January," Oleg Mitvol, deputy head of the Federal Service for the Oversight of Natural Resources, told journalists.

The project is expected to bring in an estimated $52.2 billion to the Russian budget by 2054, when it is scheduled to end. Sakhalin-I is operated by U.S. oil major Exxon Neftegas Limited.

Apart from the American giant, the international consortium comprises Russia's state-controlled Rosneft (20%), India's ONGC (20%), and Japan's Sodeco (30%).

The Sakhalin-I project is expected to produce about 258 million metric tons (1.89 billion barrels) of oil and 356 billion cubic meters of gas over its lifespan.

Another multibillion-dollar project, Sakhalin-II, which is operated by Royal Dutch Shell, has been accused of inflicting heavy environmental damage on Sakhalin Island in Russia's Far East, including deforestation, toxic waste dumping and soil erosion.

Russian Natural Resources Minister Yury Trutnev said Friday that Russian authorities have all but lost control over compliance with environmental laws in the development of mineral resources, and called for closer supervision.

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