Russia can't get vessels for the Arctic LNG-2 project — Bloomberg
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Russia can't get vessels for the Arctic LNG-2 project — Bloomberg

sanctions
Source:  Bloomberg

Due to US sanctions, the delivery of specialised vessels to the new Russian liquefied natural gas plant "Arctic LNG-2" is disrupted.

Russia can't receive vessels for the Arctic LNG-2 project

A Japanese shipping line can no longer charter three LNG icebreakers for the Arctic LNG-2 project because of US restrictions, and attempts to sell them could prove difficult.

The launch of the plant, a critical enterprise for Russia, was disrupted by US measures, as Washington punished the Russian Federation for the war against Ukraine. The operator PJSC "Novatek" planned to use vessels to transport fuel from the facility, but without them, it would be difficult to operate at the design capacity.

"Novatek" has already postponed the first launch of the facility and is trying hard to find buyers.

Japan wants to solve the problem

The president of Japan's Mitsui OSK, Takeshi Hashimoto, said that their contractual obligation is that if they cannot provide Arctic LNG-2 services, they must sell their Arctic LNG-2 vessel.

However, there are sanctions according to which we should not enter into such an agreement with Arctic LNG-2. So it's a bit tricky," he added.

According to Hashimoto, one firm is working with the US and Japanese governments to find a solution. The construction of the first of three gas-carrying icebreakers will be completed this year.

US sanctions against "Arctic LNG-2"

On November 2, the "Arctic LNG 2" project was added to the US sanctions list regarding the production and export opportunities of Russia in the field of energy.

US Assistant Secretary of State for Energy Jeffrey Payette stated that Washington aims to "strangle" this project of the Russian Federation.

Bloomberg wrote that the start of gas deliveries from Russia's newest Arctic LNG-2 will be delayed after the company declared force majeure due to US sanctions.

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