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EU Sanctions Package Targets Russian LNG — Three Things to Know About the LNG Market

Team_HydrowavBy Team_HydrowavJune 20, 2024No Comments1 Min Read

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No. 1: The European Union (EU) has approved a package of policies around the shipment of Russian LNG to member countries, marking the first official restrictions on natural gas from the country since the war in Ukraine began in 2022.

The EU would still allow Russian liquefied natural gas deliveries to the bloc. However, the new package bans using infrastructure in member countries for transshipments to third-party countries.

Transshipments are important to Russia, as LNG delivered from Novatek’s Yamal export facility is shipped in ice-class vessels, which are in short supply. Carrying cargoes from the Yamal Peninsula in Russia’s far north to European gas hubs like Zeebrugge, Belgium frees up these vessels for more shipments.

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