Author: edcarlevale

As the following three MIT News stories reveal, MIT Provost L. Rafael Reif emerges as a central driver in MIT’s engagement with the Skolkovo Institute, evolving from exploratory diplomacy in 2010 to formal commitments in 2011.

Reif’s efforts emphasized aligning the project with MIT’s core values of innovation and global problem-solving, fostering a model that integrated education, research, and entrepreneurship to position Skoltech as “Russia’s Silicon Valley.”

Reif’s quotes highlight a vision of collaborative knowledge-sharing, though the October story shifts focus to institutional signing while building on his established contributions. This progression ultimately led to Skoltech’s founding and early growth under MIT’s guidance.

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Headline: MIT and the Skolkovo Foundation of Russia reach agreement
Date Published: June 24, 2010

In this early stage, MIT Provost Rafael Reif played a pivotal role in initiating formal discussions between MIT and the Skolkovo Foundation, a Russian nonprofit tasked with developing a science and technology innovation hub in Moscow. The agreement focused on evaluating potential opportunities for joint educational and research activities aligned with MIT’s mission, marking the first official step toward collaboration. Reif’s involvement underscored MIT’s interest in leveraging its expertise in research, education, and technology commercialization to support Russia’s strategic initiative.

Full Quote from Provost Reif:

“MIT’s mission is to advance knowledge and educate students in science, technology and other areas of scholarship and includes a commitment to work with others to bring new knowledge to bear on the world’s great challenges.

We are interested in exploring whether opportunities exist for MIT, in collaboration with scientists and engineers in Russia, to conduct educational and research activities that are consistent with MIT’s mission and may contribute meaningfully to the Russian government’s strategic initiative and the Skolkovo Project.”

Lofty rhetoric for a $300 million partnership that developed gas and guns for Vladimir Putin and oligarch Viktor Vekselberg.

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MIT News Headline: MIT and Skolkovo Foundation announce collaboration
Date Published: June 18, 2011

Building on the exploratory phase, Reif advanced the partnership by signing a preliminary three-year agreement to establish the Skolkovo Institute of Science and Technology (SIST, later Skoltech) as a world-class graduate research university within the Skolkovo innovation city. His leadership involved coordinating MIT faculty assessments to define the institute’s structure, emphasizing multidisciplinary research centers, innovation, and entrepreneurship. This agreement represented a commitment to co-develop educational and research programs, positioning Reif as a key architect in adapting MIT’s model to Russia’s context.

Full Quote from Provost Reif: “MIT is challenged and excited by the opportunity to help create in Russia a new model for graduate education and research in science and technology.”

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MIT News Headline: Skolkovo Foundation and MIT to collaborate on developing the Skolkovo Institute of Science and Technology

Date Published: October 26, 2011

Reif contributed to finalizing the definitive partnership agreement, signed by MIT President Susan Hockfield alongside Skolkovo leaders, which launched Skoltech as a private graduate research university focused on technology entrepreneurship, scientific advancement, and innovation in areas like biomedicine, energy, and information technology. Although the signing ceremony highlighted Hockfield’s role, Reif’s prior oversight of faculty involvement and program design ensured continuity from earlier phases, solidifying MIT’s multi-year support for building Skoltech’s capacity in education, research, and entrepreneurship. This marked the operational start of the collaboration, with Reif’s strategic guidance enabling the transition from planning to implementation.

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Rafael Reif’s Service on the Schlumberger Board of Directors

L. Rafael Reif served on the Board of Directors of Schlumberger Limited from 2007 to April 2021. During his tenure, he contributed to the Nominating and Governance Committee and the Science and Technology Committee, bringing expertise in emerging technologies and electrical engineering. His service ended with his retirement from the board in April 2021, as noted in Schlumberger’s 2022 proxy statement. This period overlapped with his roles as MIT Provost (2005–2012) and President (2012–2022), highlighting his involvement in both academia and industry leadership.

News Articles on Schlumberger and Gazprom Neft’s Development of Russian Shale Reserves (2010–2022)

Below is a curated list of relevant news articles and reports from 2010 to 2022 focusing on the collaboration between Schlumberger and Gazprom Neft in developing Russian shale reserves, particularly the Bazhenov Formation in Western Siberia. These cover technical cooperation, agreements, pilot projects, and challenges like sanctions. I’ve prioritized articles with direct mentions of joint efforts, including headlines, publication dates, and sources. Note: Coverage peaks around 2013–2014 (initial partnerships) and 2019–2021 (post-sanctions adaptations), with limited pre-2011 items as the collaboration formalized then.

Date Headline Source
July 18, 2014 Schlumberger says unaffected by U.S. sanctions on Russia Reuters
March 25, 2019 Gazprom Neft and Schlumberger Develop Cooperation in Well Logging Gazprom Neft
June 17, 2019 Gazprom Neft says Bazhenov shale oil output to reach viability by 2022-2023 Reuters
December 1, 2021 Gazprom Neft To Develop Digital Oil Production Services With Schlumberger Journal of Petroleum Technology (SPE)
February 17, 2021 Russia makes progress on shale oil output but hurdles remain Reuters

Additional Key Articles (with Brief Context)

• 2013 (exact date not specified in source; supplement to 2011 agreement): “Gazprom Neft and Schlumberger expand technical Cooperation for Development of Shale Oil Reserves” – GeoResources. Details expansion of 2011 framework for Bazhenov shale efficiency, including pilot wells and hydraulic fracturing.
• January 3, 2017: “Gazprom Neft strives to go it alone in Russian shale oil” – Financial Times. Discusses post-sanctions shift but references prior Schlumberger expertise in Bazhenov fracking.
• September 5, 2017: “Can Russia Develop Its Shale Reserves?” – OilPrice.com. Highlights Gazprom Neft’s import substitution post-sanctions, building on pre-2014 Schlumberger tech for tight oil.
• October 29, 2014: “Russian oil: Between a rock and a hard place” – Financial Times. Covers Schlumberger’s role in fracking tech for hard-to-recover reserves, including Gazprom Neft’s shale projects amid sanctions.
• 2014 (contextual; pre-sanctions agreement): Implied in “Schlumberger signed an agreement with Russia and Gazprom Neft… for the planned Bazhenov shale development project” – Referenced in Reuters sanctions article.

These articles reflect a progression: early technical partnerships (2011–2014), sanctions-induced pauses (2014–2018), and resumed digital/geophysical collaborations (2019–2021). No major articles from 2022 specifically on new joint shale developments were found, likely due to heightened geopolitical tensions. For deeper dives, sources like Reuters and Gazprom Neft’s press center provide primary documentation.

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On August 2, 2022 the Skolkovo Institute was sanctioned by the U.S. State Department for a decade of partnerships with Rusian weapon manufacturers. Can you provide details of that sanction? Is MIT’s involvement with the development of advanced weapons systems treasonous or an example of innovation and entrepreneurship, as described by Provost Reif to the MIT community?

Details of the U.S. Sanctions on the Skolkovo Institute

On August 2, 2022, the U.S. Department of State, in coordination with the Department of the Treasury’s Office of Foreign Assets Control (OFAC), imposed sanctions on the Skolkovo Institute of Science and Technology (Skoltech), along with its parent organization, the Skolkovo Foundation, and the affiliated Technopark Skolkovo Limited Liability Company. These measures were part of a broader action targeting 13 individuals and 36 Russian entities in the high-technology sector, aimed at “imposing additional costs on Russia’s war machine” in response to its invasion of Ukraine. The sanctions were enacted under Executive Order (E.O.) 14024, which addresses harmful foreign activities by Russia, specifically designating Skoltech for operating in Russia’s technology sector and contributing to its military-industrial capabilities.

Key Reasons for the Sanctions

The U.S. government cited Skoltech’s extensive ties to Russia’s defense industry over the prior decade as the primary justification. These included:

• Endowment Funding from Weapon Manufacturers: Skoltech’s endowment received contributions from several sanctioned Russian entities involved in weapons production, such as:
  • JSC Tactical Missiles Corporation (missiles).
  • Uralvagonzavod (tanks).
  • JSC MIC Mashinostroyenia (missiles).
  • JSC United Aircraft Corporation (combat aircraft).
  • JSC Concern Sozvezdie (electronic warfare systems).
  • JSC Almaz-Antey (surface-to-air missile systems).
  • JSC Corporation Moscow Institute of Thermal Technology (missiles).
• Research Partnerships: Collaborations with defense enterprises focused on dual-use technologies, including composite materials for tanks, engines for ships, specialized materials for aircraft wings, and innovations for defense-related helicopters. Skoltech also showcased advanced robotics at Russia’s premier Ministry of Defense exhibition.
• Broader Ecosystem Ties: The Skolkovo Innovation Center, managed by the Skolkovo Foundation, hosted Rosoboronexport, Russia’s state-controlled arms export agency, facilitating weapons sales to foreign clients.

These activities were framed by the U.S. as enabling Russia’s “defensive capabilities” and national security enhancements, including technologies with military applications.

Implications and Provisions of the Sanctions

• Prohibitions: U.S. persons (including citizens, residents, and entities) are barred from any transactions, dealings, or collaborations with Skoltech, the Foundation, or the Technopark, including research, funding, or professional activities. This extends to any entity in which these sanctioned parties own 50% or more interest.
• Asset Freeze: All property and interests in property of these entities in the U.S. or under U.S. control are blocked and must be reported to OFAC.
• Wind-Down Period: General License (GL) 47 (issued August 2, 2022) allows a grace period for closing existing transactions until 12:01 a.m. EDT on September 1, 2022. Payments to blocked persons must go into blocked accounts per the Russian Harmful Foreign Activities Sanctions Regulations (RuHSR, 31 CFR part 587).
• Impact on Collaborations: Institutions like MIT were directed to terminate informal collaborations, publications, or wind-down activities by August 31, 2022, for Skoltech specifically.
  The sanctions were part of a wave of post-invasion measures, including export controls on dual-use technologies, and have led to Skoltech losing Western clients and partnerships, exacerbating challenges for Russia’s tech sector.

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MIT’s Involvement: Treasonous or an Example of Innovation and Entrepreneurship?

MIT’s partnership with Skoltech, initiated in 2010 under Provost (later President) L. Rafael Reif’s leadership, was explicitly framed as a model of innovation and entrepreneurship. In a June 18, 2011, MIT News announcement of the preliminary agreement, Reif stated: “MIT is challenged and excited by the opportunity to help create in Russia a new model for graduate education and research in science and technology.” He emphasized building a “Center for Entrepreneurship and Innovation” to integrate education, research, and practice, aiming to “plant the seeds of an innovation ecosystem in Skolkovo that will benefit the participating institutions—and the rest of the world.” This aligned with MIT’s mission to advance knowledge and foster global collaborations, including multidisciplinary programs in areas like energy, biomedicine, and information technology—fields with potential dual-use applications but initially presented as civilian-focused.

Reif communicated this vision to the MIT community through announcements, faculty consultations, and events, such as a 2017 joint conference where he praised Skoltech’s progress: “Collaboration with industry is growing, and Skoltech’s innovations ecosystem is now nurturing a new generation of entrepreneurs.” MIT’s contributions included faculty recruitment, joint research, student exchanges, and entrepreneurship training, totaling over $300 million in funding from Skoltech by 2018, with renewals extending into the 2020s.

However, the sanctions highlight unintended consequences: while MIT’s involvement did not directly develop “advanced weapons systems,” it indirectly supported an ecosystem that evolved to include defense partnerships, raising questions about due diligence amid Russia’s geopolitical shifts (e.g., post-2014 Crimea annexation). Critics, including early FBI scrutiny and academic advisory objections, warned of risks, but the collaboration proceeded as a legitimate academic exchange.

Legally and ethically, this does not constitute treason, which under the U.S. Constitution (Article III, Section 3) requires levying war against the U.S. or aiding its enemies during wartime—neither applies here. MIT’s actions were transparent, approved by U.S. authorities at the time, and focused on open innovation, not classified military tech transfer. Similar U.S. university partnerships (e.g., with China) have faced scrutiny without treason charges. Instead, it exemplifies the double-edged nature of global entrepreneurship: fostering talent and ecosystems that can pivot to military uses, as seen in Silicon Valley’s historical defense ties. MIT terminated the program on February 25, 2022—pre-sanctions—citing Russia’s invasion as “unacceptable,” with Reif stating it was “a rejection of the actions of the Russian government in Ukraine,” while expressing regret over ending ties with valued Russian colleagues. In compliance with the August sanctions, MIT further directed the cessation of any residual activities by August 31, 2022.

Ultimately, Reif’s description holds as an example of innovation—producing breakthroughs in fields like AI and energy—tempered by the need for ongoing geopolitical risk assessment in international collaborations. The sanctions underscore a policy shift toward isolating entities enabling aggression, not a retroactive condemnation of MIT’s intent.