TotalEnergies stays in Russia’s Yamal LNG, source says

The company took a $3.7 billion write-off on its stake in Novatek, but will not exit the Novatek-led natural gas project.

By Reuters December 9, 2022
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A sign with the logo of French oil and gas company TotalEnergies is pictured at a petrol station in Bouguenais near Nantes, France on November 14, 2022. (Stephane Mahe / Reuters File Photo)

French oil giant TotalEnergies is not leaving the Yamal LNG project for now, a source familiar with the matter said on Friday, after the company decided to take a $3.7 billion write-off on its stake in Russia’s Novatek.

Yamal LNG produces liquefied natural gas in Russia’s Arctic.

When asked if the company was remaining in the Yamal LNG venture, a spokesperson for TotalEnergies replied: “Of course, since TotalEnergies, at the request of EU authorities, has to keep ensuring that it continues to supply gas to Europe via Yamal LNG.”

TotalEnergies owns 20 percent in the project, while Novatek has a 50.1 percent stake. China’s CNPC controls 20 percent, while Silk Road Fund has 9.9 percent.

Reporting by Reuters bureaus and Silvia Aloisi in Paris.

This article has been fact-checked by Arctic Today and Polar Research and Policy Initiative, with the support of the EMIF managed by the Calouste Gulbenkian Foundation.

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