Russia’s Arctic LNG 2 project has taken another twist with the liquefied natural gas scheme’s foreign shareholders taking legal action to temporarily relieve them of their obligations to the project, which is still in development, according to reports in Moscow.

The 20 million tonnes per annum project was expected to play a key role in Russia’s drive to increase its LNG exports after its pipeline gas exports to Europe were suspended following Moscow’s invasion of Ukraine in early 2022.

However, operator Novatek — Russia’s largest independent gas producer — last week reportedly issued force majeure notices to some of the scheme’s LNG buyers, informing them of its inability to start contracted shipments.

Novatek, which holds a 60% stake in Arctic LNG 2, issued its force majeure after the project was targeted by a new set of US sanctions aiming to constrain Russia’s future energy production and LNG export capacity.

Moscow business daily Kommersant has cited Russian government officials saying that Arctic LNG 2’s foreign stakeholders — French supermajor TotalEnergies, China National Petroleum Corporation (CNPC), China National Offshore Oil Corporation (CNOOC) and a consortium of Japan’s Mitsui and Jogmec — have issued their own force majeure notices, temporarily suspending their obligations to the project.

Arctic LNG 2’s first train is already installed near the shore of West Siberia’s Gydan Peninsula and is said to be technically ready to produce LNG.

However, the second and the third trains are still under construction at a specialised yard in Belokamenka, near the Russian port of Murmansk.

Novatek had not responded to Upstream’s request for comment by the time of publishing.

Each of the four foreign shareholders holds a 10% interest in the scheme and the right to offtake a volume of LNG equivalent to its stake, but they are also required to finance their share of agreed investments in the project.

Out of the four, only TotalEnergies has said it would comply with international sanctions and no longer provide financing for the project or invest in Russia following the Ukraine invasion.

According to a Reuters report last week, the remaining three foreign shareholders have asked the US to consider freeing their offtake volumes from the sanctions against Arctic LNG 2.

Novatek said earlier this month that it was continuing to push ahead with Arctic LNG 2 despite the US sanctions.

The US this year introduced sanctions targeting two LNG offshore transshipment and storage vessels, Saam LNG and Koryak LNG, operated by a joint venture between Novatek and TotalEnergies.

The two vessels were intended to free up Arctic class LNG carriers capable of sailing without icebreaking support in the Arctic ice.

Kommersant suggested that international sanctions are delaying the construction in eastern Russia of other Arctic class LNG carriers destined for the project.

The delay may force Novatek to rely on the existing fleet of 15 of such vessels built for the company’s Yamal LNG project to deliver volumes from Arctic LNG 2’s first train.