LNG

Russia's largest LNG producer Novatek has reported a sharp 63% drop in net profit, citing lower commodity prices, Western sanctions, and operational disruptions at its Ust-Luga terminal following a Ukrainian drone attack. 2025 net profits fell to 183 billion roubles ($2.37 billion), down from 493 billion roubles in the previous year.

EU member states spent more than €7.2 billion ($8.4 billion) on Yamal LNG last year – despite a full ban on LNG imports coming into force on January 1, 2027.  “Russia has no adequate alternative to the EU market,” Urgewalt analysts commented, noting more than three-quarters of all Yamal LNG exports currently go to Europe.

The tanker ‘Arctic Mullan’, carrying LNG from Russia’s Arctic LNG 2 terminal, has berthed at Beihai regas terminal in China’s Guangxi province. If unloaded, it would be the first Western-sanctioned LNG cargo ever received abroad.

Another U.S.-sanctioned LNG tanker has docked at the Arctic LNG 2 facility, Reuters reported, referring to Kpler ship-tracking data. Novatek seemingly resumed liquefaction and export from the terminal in the Russian High North.

Novatek’s Arctic LNG 2 project is back with the apparent restart of a 9 bcm/y liquefaction train. The carrier Iris reportedly departed from the terminal, direction Murmansk. Analysts doubt Novatek has found a buyer for its sanctioned product.

Saipem has signed an agreement with Technip France and NIPIgaspererabotka to participate in the Arctic LNG2 joint venture project. 

The Arctic Council, meeting in the Alaskan town of Fairbanks, had former ExxonMobil Chief Executive Rex Tillerson, the US Secretary of State, saying the US had not formulated its final greenhouse-gas policy, though he had overseen plans to produce Alaskan LNG to ship to Asia as a clean fuel.

Russia's state-owned Rosneft is edging closer to taking control in the $4 billion Pechora LNG project in the Arctic Circle, which is currently owned by the Moscow-based investment firm Alltech Group.