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The Effects of Sanctions on Russian LNG Trade

17 October 2024 Windward 


This section from Windward's Q3 2024 Trade Pattern and Risks Report offers a deep dive into the evolving sanctions risk related to Russian trade, underscoring the substantial impact of increasing sanctions – such as the recent EU sanctions packages, and OFAC's ongoing sanctions on maritime trade dynamics involving Russia.


LNG Trends


Since June 2024, both the EU and OFAC have targeted the Russian LNG sector with various sanctions. The intent is to limit Russia's funds needed to continue its war with Ukraine. While it will take a few months to see a shift in trade flows and vessel behavior, here are a few interesting insights from Windward about this newly introduced aspect of the sanctions domain:Port Calls in Russian LNG Facilities


  • September 2024 showed the highest number of port calls in Russian LNG facilities in the last year – 20% higher than the monthly average since October 2022.

  • Utrenniy port, home to the sanctioned LNG2 facility, started to operate this quarter while under sanctions.

  • Sabetta port, home to the Yamal LNG1 facility, showed a consistent rate of operations, even in light of the new sanctions on LNG, its fleet, and its owners.



LNG Tanker Voyages Through the Barents Sea


  • By cancelling out the seasonality of the area, data clearly shows that when comparing Q3 2024 to Q3 2023, there is an increase of 186% in the number of LNG tanker voyages through the Barents Sea.

  • This can indicate a new trade flow to the newly opened LNG2 facility in Utrenniy.







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