Russia boosts LNG exports despite sanctions – Bloomberg

The export plant Arctic LNG 2 has reportedly shipped its tenth cargo since the end of June, according to vessel-tracking data compiled by Bloomberg. Previously, shipments were sent either to a single port in southern China or to storage facilities in Russia's Far East.

Although the trade dispute between Washington and Beijing has intensified again in recent days, the United States has so far refrained from imposing further measures against Russian LNG.

According to vessel-tracking data, since August, eight cargoes of Russian LNG subject to sanctions have arrived at the Chinese terminal in Beihai. These shipments were the first to reach a foreign port. By choosing a single port with limited international presence, Beijing is seeking to protect its gas sector from potential retaliatory measures.

Last summer, the Arctic LNG 2 project shipped eight cargoes but was forced to shut down in October because it failed to find buyers and because seasonal ice buildup around the facility made loading difficult. Instead, vessels unloaded their cargo at Russian storage sites.

Background

On August 28, a Russian tanker carrying liquefied natural gas had docked in China for the first time, despite US sanctions.

It is known that the Arctic Mulan loaded an LNG cargo in early June from a floating storage unit in eastern Russia. The fuel in storage was supplied by the Arctic LNG 2 plant.

Last summer, the plant produced only eight LNG cargoes but was forced to suspend operations in October due to a lack of buyers and seasonal ice formation around the facility. As a result, vessels were offloading the fuel to storage facilities within Russia.

At the beginning of September, a second Russian tanker carrying liquefied natural gas had recently arrived in China.