Yamal LNG, the Russian liquefied natural gas (LNG) facility operated by Novatek, has started using the Axios II tanker for ship-to-ship (STS) transfers in the Barents Sea, according to Reuters, citing vessel-tracking data from LSEG.
STS transfers are used to offload LNG from ice-class tankers to conventional vessels, helping to free up the specialized ice-class ships. These transfers can also be used to obscure cargo and vessel tracking, complicating monitoring efforts.
The Axios II is currently anchored near Kildin Island, close to Russia’s Murmansk, alongside the ice-class tanker Nikolay Urvantsev, as per LSEG data.
Despite increasing Western sanctions on the Arctic LNG 2 project, Russia continues to export LNG from Yamal. The U.S. has intensified efforts to curb Russia’s LNG exports as part of broader sanctions targeting Moscow’s war in Ukraine.
The Arctic LNG 2 project, located on the Gydan Peninsula in the Arctic, was a key part of Russia’s strategy to increase its global LNG market share from 8% to 20% by 2030-2035. However, the project has been stalled since the U.S. imposed sanctions in November 2023, causing foreign investors to withdraw their support and halt financing and contracts.
In October, Reuters reported that Russia planned to conduct STS transfers in the Barents and Bering Seas to free up more ice-class LNG tankers for Novatek and Arctic LNG 2.
The project has already faced significant delays due to the sanctions, which disrupted the company’s production and export schedules. In response, Russia has begun to assemble a “dark fleet” of tankers, a strategy similar to the one used to create a shadow fleet for oil exports after the invasion of Ukraine, allowing it to bypass Western sanctions.
Related Topics: