Razom We Stand and Ecoclub joined forces this afternoon to host a pivotal press briefing at the Ukrainian Crisis Media Center, dedicated to answering a critical query: Will the newly imposed US and EU sanctions effectively halt the export of Russian liquefied natural gas?
This event brought together leading Ukrainian experts, taking part in a rigorous discussion that dissected crucial issues poised to redefine the global geopolitical landscape. The panel delved into topics of paramount significance, including the aftermath of recent US sanctions targeting Russian entities, the conspicuous absence of Russian LNG in the EU's 12th sanctions package, the continuous transshipment of Russian LNG within its ports, and the looming possibility of escalated sanctions from the US and G7 nations against Russian oil.
The discussion was characterized by an exploration of the multifaceted challenges and opportunities that arise from the current geopolitical climate. Experts delivered invaluable perspectives on the potential repercussions of sanctions on the Russian liquefied natural gas sector, illuminating the complex dynamics shaping global energy markets.
"Sanctions against the Russian oil and gas sector are a way to ensure global security. We see that liquefied gas is not irreplaceable on the world market. European experts are already planning the balance without taking into account the gas from Arctic-2, and this is a good sign. In order to ensure energy stability in Europe, Ukraine makes its own contribution - providing its underground gas storages for use", Agia Zagrebelska, Head of the Direction of Minimization of Corruption Risks in the sanctions policy of the National Agency of Ukraine for the Prevention of Corruption.
On November 2, 2023, the US Department of State and the Office of Foreign Assets Control (OFAC) undertook decisive measures, unveiling a series of new sanctions. These actions respond to Russia's persistent aggression, aiming to curtail the resources fueling its destabilizing endeavours.
"The introduction of American sanctions against Russian projects in the Arctic is a powerful signal to Russia's European counterparties that cooperation will have to be reviewed," said Daria Shapovalova, Director of the Center for Energy Law at the University of Aberdeen.
In recent months, Razom We Stand has fervently advocated for curbing Russian expansion in the Arctic and imposing sanctions on Russian LNG exports. One of the primary objectives of these sanctions is to thwart the expansive Russian Arctic LNG-2 project, which holds the potential to significantly bolster Russia's energy capabilities.
"We see decisive and consistent steps taken by the USA to limit the export of hydrocarbons from Russia. After a cycle of discussions with Ukrainian government officials and the public, sanctions were introduced against projects in the Arctic. The next task is to influence third countries to prevent evasion and circumvention of oil sanctions and a complete ban on the export and transshipment of liquefied gas from Russia," said Svitlana Romanko, director of Razom We Stand.
The US sanctions, enacted on November 2, directly encompass Arctic LNG 2 LLC, the operator of Novatek's flagship LNG project, enjoying full Kremlin support.
The global community acknowledges that Moscow's energy prowess stands as a linchpin in its ongoing aggression against Ukraine. By targeting this project, the United States seeks to stem Russia's Arctic expansion and hinder the escalation of Russian liquefied natural gas exports.
"LNG logistics is Russia's most vulnerable point. These are only 15 ice-class tankers, they are all known, as well as the ports in which transshipment to LNG tankers of third countries takes place. The export of Russian LNG is tied to the infrastructure and services of the G7 countries and the EU. Therefore, limiting Russian exports is a very realistic task, which the international community must fulfill as soon as possible", stressed Oleg Savytskyi, senior manager of Razom We Stand campaigns.
"Ukraine is working hard on the practical implementation of the sanctions policy. The resolution of the European Parliament, although there is no direct action, is an indicator for both the European Commission and national governments. Ways of circumventing sanctions should be eliminated, fines for evasion attempts should be strengthened," emphasized Lyudmila Yenina, director of the Department of Economic Diplomacy of the Ministry of Foreign Affairs of Ukraine.
The European Union must also take appropriate measures to ensure peace in Europe and protect the climate.
ENDS
Notes to editors:
Full list of Speakers:
- Agia Zagrebelska, Head of the Department for Minimisation of Corruption Risks in the Sanctions Policy of the National Agency for Prevention of Corruption
- Daria Shapovalova, Director of the Energy Law Centre, University of Aberdeen
- Liudmyla Yenina, Director of the Department of Economic Diplomacy, Ministry of Foreign Affairs of Ukraine (TBC)
- Olena Lapenko, energy security expert, Dixi Group
- Svitlana Romanko, director of Razom We Stand
- Oleh Savytskyi, Senior Campaigns Manager, Razom We Stand
Photos of the speakers from the press briefing are available here.
The Ukrainian organization Razom We Stand, founded at the beginning of the full-scale Russian invasion in Ukraine in 2022, campaigns for an end to the war by banning the export of fossil fuels from Russia, advocates a comprehensive and complete embargo on Russian fossil fuels, and works on the green reconstruction of Ukraine using renewable energy for a better climate and a peaceful future.
