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LNG: Arctic LNG 2 Project Cuts Gas Output in May with No Exports Yet

LNG

Russia's Arctic LNG 2 project cut natural gas output in May to around 55mcm from 215mcm in April, according to a Reuters source.

  • Production from the facility fell to the lowest for at least six months after starting production in December, as exports are yet to begin amid western sanctions. 
  • Vedomosti daily reported that Novatek cut output from 425mcm in December and 250mcm in January to 83mcm in February.
  • Novatek was due to begin deliveries in Q1 2024, although this has been prevented by western sanctions and a shortage of ice breaker tankers as foreign shareholders have withdrawn participation causing Novatek to issue a force majeure.

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