Doomed Arctic LNG platform arrives in Gydan

By Atle Staalesen, The Independent Barents Observer - August 19, 2024
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After three weeks of towing across rough Arctic waters, the 640,000 ton heavy production platform arrives in the remote port of Utrenny. It might never produce liquified natural gas as planned.

The gigantic platform on the 25th of July started its more than 2,000 km long voyage from Belokamenka near Murmansk to Gydan, the remote peninsula where Novatek is developing its Arctic LNG 2 project.

On the 17th of August, the more than 110 meter high object reached its destination. Its proportions made it easy to spot on satellite photos.

 

The gravity-based structure was on the 25th of July towed out from the construction center in Belokamenka and through the heavily militarised Kola Bay. Photo: Belokamenka51 on VK

On the day before arrival, the gravity-based structure could be seen about 50 km away from the port of Utrenny. It was towed by three tugs, and surrounded by a number of more support vessels.  In the wake of the ships was a thick belt of muddy waters from the shallow bay.

The Arctic LNG 2 floating production platform on the 16th of August approached the port of Utrenny. Image: Senitel-2 satellite

In Utrenny, the platform docked next to the similar structure that was sent from Murmansk to Gydan in August 2023.

The two gravity-based  structures are key components in Novatek’s Arctic LNG 2 project. They are designed to produce up to 6,6 million tons of LNG per year each. A third structure is due to arrive in Utrenneye in 2025.

However, the fate of the three gravity-based structures hangs in the balance as mounting international sanctions target Russia’s LNG industry.

Since Moscow launched its full-scale war on Ukraine, the U.S Treasury has approved a number of sanctions against the Arctic LNG 2. The project that was to make Russia one of the world’s leading producers of LNG is now paralysed and the production platforms in Utrenneye might never be able to start production as planned.

The two structures in Utrenneye, as well as the third structure that is under construction in Belokamenka, risk ending up as rusting ghost installations. The same applies for the Saam, a 400 meter long vessel projected to serve as transshipment hub for the project.

Also Belokamenka, the LNG construction center outside Murmansk, now faces a halt in activities.

Locals in Murmansk report that the construction center is almost emptied of workers.

Contracts are being terminated and all workers will leave the yard by September, the news site Arktichesky Obozrevatel informed on Telegram. Only a small group of specialists will remain to preserve the industrial facilities.

Located in Kirkenes, Norway, just a few kilometres from the borders to Russia and Finland, the Barents Observer is dedicated to cross-border journalism in Scandinavia, Russia and the wider Arctic.

As a non-profit stock company that is fully owned by its reporters, its editorial decisions are free of regional, national or private-sector influence. It has been a partner to ABJ and its predecessors since 2016.