The sub-sanctioned Arctic LNG 2 gas terminal in Russia has suspended the process of liquefaction of natural gas due to restrictions related to Western sanctions, which make it difficult to transport and sell products. About this reported the Bloomberg agency.
Commercial liquefaction at the plant was stopped due to the accumulation of reserves, as the plant cannot freely export gas, the sources said on condition of anonymity because the information is not public.
The plant, located near the Arctic Circle, has been the target of several waves of sanctions imposed by the West last year. Restrictions by the US and its allies, imposed in response to the Kremlin's incursion into Ukraine, have hampered Arctic LNG 2's access to icebreaker-class tankers built for the project in South Korea and scared away foreign buyers.
As a result of the shutdown, average daily gas production from the field that supplies gas to the plant fell to about 5,3 million cubic meters this month, less than half of September's average daily output of 12,1 million cubic meters.
Some gas processing is necessary to keep LNG plants running even in the absence of commercial production. Earlier this year, Arctic LNG 2 already processed small volumes of gas, even before the start of loading products onto tankers.
Although the plant began supplying liquefied gas in August using conventional tankers, whose owners are often unknown, none of the eight cargoes have found a buyer.
The Arctic LNG 2 project is designed for an annual capacity of 19,8 million tons, but only one line is currently operating, capable of producing 6,6 million tons per year. The company gradually increased the production and liquefaction of natural gas in the summer, and in August, with the start of exports, the volumes reached this year's maximum.
Thank you for being with us! Monobank for the support of the ElitExpert editorial office.
