The initial shipment of liquefied natural gas from the Arctic LNG-2 project is expected to reach customers in February 2024, according to a briefing that cited Russian Deputy Prime Minister Alexander Novak. The information aligns with updates provided by the project developers and industry observers, signaling a landmark moment for Russia’s gas-export program. This development comes as the Arctic LNG-2 project moves from late-stage construction into early production stages, marking a transition from investment activity to actual exports that will shape Russia’s energy trade in the coming year. Source: TASS.
Officials indicated that the commissioning of NOVATEK’s Arctic LNG-2 facility is projected to lift Russia’s liquefied gas exports to about 38 million tonnes per year by the end of 2024. This forecast reflects a strategic scale-up in a market that remains highly sensitive to global demand shifts, pricing dynamics, and international sanctions. The milestone would position Arctic LNG-2 among the leading LNG projects contributing to Russia’s export capacity, reinforcing the country’s role in supplying energy to major markets across Europe and Asia. It also underscores the importance of long-term planning, infrastructure readiness, and project financing in meeting ambitious export targets. Source: TASS.
On 25 December, foreign shareholders of the Arctic LNG-2 project declared force majeure due to U.S. sanctions, highlighting the financial and operational pressures facing the venture. The stakeholders include TotalEnergies of France, CNPC and CNOOC of China, and the Japanese consortium Mitsui and JOGMEC, each holding a 10 percent share. The designation effectively waives certain funding obligations and disrupts contracts for the annual supply of 2 million tonnes of LNG, while NOVATEK remains the primary shareholder with a 60 percent stake. This development illustrates how geopolitical dynamics can influence large-scale energy projects and the way international partnerships must adapt to rapidly shifting regulatory landscapes. Source: TASS.
As sanctions considerations evolve, Chinese firms CNOOC and CNPC, along with their Japanese partners, have urged U.S. authorities to exclude LNG contracts from the scope of sanctions. The request signals a broader intent to keep LNG trade flowing and to minimize disruption to existing supply arrangements. In the interim, Arctic LNG-2 will need to operate with spot-market sales, a move that introduces greater price exposure but also potential flexibility to respond to short-term market conditions. The situation emphasizes how global energy players manage risk when sanctions are in play and how project economics adjust to keep production on track. Source: TASS.
Earlier reports suggested that the Arctic LNG-2 launch would lift exports of liquefied gas by roughly 15 percent, indicating a substantial uplift in quarterly and annual volumes once full operations commence. The projected increase aligns with the broader objective of expanding Russia’s LNG footprint, diversifying supply routes, and strengthening strategic ties with international buyers. It also highlights the complexity of blending new capacity with existing export channels, including port logistics, shipping access, and long-term sales agreements that underpin revenue visibility for the project consortium. Source: TASS.