Arctic Express Operates in Arctic LNG 2 Despite US Sanctions

A Russian-flagged LNG tanker, Arctic Express, picked up a cargo of liquefied natural gas from a floating storage facility used to transship gas from the Arctic LNG 2 project, which is subject to US sanctions, LSEG data showed.

Arctic LNG 2, initially conceived to be one of Russia's largest LNG plants with a final output of 19.8 million metric tons per year, continues to operate despite US sanctions, with China being the main buyer.

According to LSEG data, the Arctic Express loaded an LNG cargo at the Saam terminal, near the Arctic port of Murmansk, on June 28 and headed west. Its final destination is unknown.

Arctic Express was one of two new LNG tankers that appeared in the Russian registry in recent weeks. According to Equasis data, until May 1, the vessel was named Queen Cassiopeia and flew the flag of Sierra Leone.

The other tanker recently added to the registry was the Avacha (formerly named T Handan and flagged in Panama). Both vessels were built in 2007 and 2008, respectively, and changed to the Russian flag.

Several months ago, Russia added four other LNG tankers to its fleet: Orion, Luch, Merkuriy, and Kosmos. All were manufactured between 2005 and 2006, transferred to new owners, and subsequently flagged in the country.

Moscow seeks to diversify its LNG supply sources after the European Union (EU) ban on Russian LNG imports through short-term contracts came into effect on April 25. The EU ban on long-term contracts will come into force on January 1, 2027.