The Beihai LNG terminal in southern China's Guangxi Zhuang Autonomous Region
Arctic LNG comes in from the cold
Beijing now appears prepared to accept discounted Russian LNG, even at the cost of heightened sanctions risk
Russia’s long-delayed and heavily sanctioned Arctic LNG 2 project has begun regular LNG shipments to a single port in China, with Washington so far refraining from imposing secondary sanctions on the recipient—possibly holding fire until there is movement in the Ukraine peace process. Even so, the current flow is unlikely to bring output anywhere near the full capacity of the project’s first 6.6mt/yr train, particularly as the winter navigation season looms, when Russia will lack sufficient ice-class vessels to traverse the frozen Northern Sea Route (NSR). The US, under the Biden administration, imposed sanctions on Arctic LNG 2 in November 2023, prompting TotalEnergies and other Western off
Also in this section
19 March 2026
The regional crisis highlights the undervalued role of fixed pipelines in the age of tanker flexibility
18 March 2026
Rising LNG exports and AI-driven power demand have raised concerns that US gas prices could climb sharply, but analysts say abundant shale supply and continued productivity gains should keep Henry Hub within a range that preserves the competitiveness of US LNG
18 March 2026
Risks of shortages in oil products may cause world leaders to panic and make mistakes instead of letting the market do what it does best
17 March 2026
The crisis in the Middle East has put LNG’s ability to offer security and flexibility under uncomfortable scrutiny
