Newbuild LNG carrier Iris (ex-North Sky) moored up at the plant’s first production line on June 26. En route to the Utrenniy terminal the light ice-class LNG carrier passed through broken up sea ice that did not pose a challenge for the Arc4 vessel. Iris departed the plant in direction Murmansk on June 29 after loading LNG based on its indicated draft.
In contrast to repeated attempts in 2024 to reach the plant undiscovered, Iris did not spoof or turn off its AIS signal. As first reported by gCaptain the vessel departed from its months-long holding pattern in the Barents Sea on June 24. Satellite images confirm the vessel’s arrival at Arctic LNG 2 terminal.
Yet, the question remains if Novatek has indeed found a buyer for its sanctioned product. It may also be speculating on a future change in the sanctions regime. Iris’ eventual destination beyond Murmansk following departure from Arctic LNG 2 will likely offer clues as to Novatek’s next steps.
“This activity likely reflects a mix of technical factors and opportunistic manoeuvring by Russia, rather than any indication of sanctions being eased,” said Ana Subasic, analyst at Kpler Insight.
For a three-months period in 2024 the Novatek managed to load eight cargoes before winter ice and lack of buyers forced it to relent. Around one million cubic meters of LNG remain afloat in LNG carriers and two FSUs.
“Although there is still storage capacity at the Murmansk FSU and other vessels in the fleet could load and remain offshore, without a committed buyer, this restart appears to be temporary.”
Other industry experts suggest that low production rates and seasonal variability due to uncertainty over winter-shipping capacity are a key obstacle to finding buyers. Train 1 is reportedly running at half capacity following bearing failure in a Baker Hughes LM9000 turbine. Without access to Western technology repairs are expected to take several months keeping the 2nd string of T1 out of service until 2026.
With several medium ice-class LNG carriers now at its disposal the shipping window has somewhat improved for Novatek compared to 2024. The Arc4 ice-class carriers of the North-series extend the season around 4-6 weeks in early summer and late fall. But without Arc7 ice-class vessels Arctic LNG 2 will remain inaccessible for around 6 months between January and June.
