Russia has expanded the fleet of tankers operating at the Arctic LNG 2 liquefied natural gas facility in the Kara Sea to at least 20 vessels, up from 11 at the end of last December, as it seeks to increase production and direct more shipments to Asian markets despite Western sanctions imposed on the project since November 2023.
Advanced tanker and multistage route
Ship-tracking data showed that an advanced Russian icebreaker-class tanker had joined the fleet, becoming the second of its kind, designed to cross frozen waters year-round.
The specialized tankers first carry the gas through icy waters before transferring it to storage facilities in Russia’s far east and west, after which it is reloaded onto conventional vessels that deliver it to buyers.
Amin Dargami, a Moscow correspondent, said the increase in the number of tankers was aimed at developing output at the remote facility and sending larger volumes toward Asia, particularly China, which has become the almost sole buyer of this gas. He added that the United States has not yet imposed sanctions on Chinese purchases, allowing Beijing to import more shipments.
Nevertheless, gas from the facility is not the main channel for Russian supplies to China, compared with the Power of Siberia pipeline, which pumps 25 billion cubic meters annually.
Higher 2026 production forecast
As more vessels continue to be added, Rystad Energy raised its estimate for the facility’s 2026 production by about 9% from its July forecast, to approximately 5 million tons.
The company estimates that Russia may need as many as 30 conventional vessels for the facility to reach its full estimated production capacity of about 19.8 million tons annually. However, projected 2026 output remains well below that capacity despite the fleet expansion and development of multistage transport routes.
Sanctions weigh on output and profits
Oil and energy expert Amer Al-Shobaki said the sanctions had not failed, citing the expected output of 5 million tons, equivalent to about a quarter of the facility’s full capacity. He added that the restrictions had affected technology, terminal construction, and access to markets and buyers, while efforts to circumvent them impose additional operating costs.
Al-Shobaki warned against Moscow’s reliance on China as a sole buyer, saying current volumes do not make up for Russia’s previous exports to Europe. He noted that Russia’s Novatek offers discounts of between 30% and 40% on the price of liquefied natural gas delivered to China, squeezing profits and increasing the burden of operating infrastructure in the Arctic environment.
According to Al-Shobaki, concentrating sales in the Chinese market gives Beijing greater leverage to impose its pricing terms, while also benefiting from lower energy prices.
Redirecting exports eastward
The redirection of Russian gas exports eastward comes as a majority of European Union member states agreed, during a meeting of energy ministers in Luxembourg on October 20, 2025, to ban imports of Russian natural gas by the end of 2027.
