Chinese Power Plant Arrives at Sanctioned Russian Arctic LNG Project After Push Through Dangerous Sea Ice

By Malte Humpert (gCaptain) –

Two Chinese heavy-lift vessels arrived off the coast of the sanctioned Russian Arctic LNG 2 project after a five-week journey through challenging early winter sea ice. The ships are carrying large-scale power generation modules constructed over the last two years by China’s Wison New Energies, an engineering, procurement, and construction company. The power plant is key to commissioning the second train of Russia’s flagship liquefied natural gas project. 

For much of the voyage the two vessels, Ocean 28 and Na Feng Zhi Xing, traveled in convoy as they passed through more than 1,500 nautical miles of partially ice-covered seas. At times progress was slow-going at only 1-2 knots searching for a path through broken first-year ice. Ocean 28 does not have any ice classification. 

For the later parts of the journey they were escorted by nuclear icebreaker Sibir before emerging in open water in the western Kara Sea over the weekend. A third vessel, Hunter Star, carrying the remaining sections of the power station remains en route about a week behind.

The arrival of the power plant before winter is indispensable if Novatek, the majority owner of Arctic LNG 2, wishes to launch the 6.6 mtpa LNG Train in 2025. The vessels are currently holding at the mouth of Ob Bay, around 150 nautical miles north of their final destination at Utrenniy terminal. The unloading of the 5,000-7,000 tonnes modules will require several days and close coordination with tidal conditions. 

Over the past 24 months Chinese yards have defied U.S. sanctions and continued providing material assistance to Russia’s largest LNG project. Wison New Energies had announced earlier in 2024 that it had ceased cooperation, but it seemingly still went ahead and executed the shipment of the power plant modules, although it denies direct involvement in their shipment.

The brazen delivery of the modules in violation of sanctions will test the U.S.’ resolve to stop the Arctic LNG 2 project. Unlike previous Chinese sanctions targets, including construction yard PJOE, Wison closely works with a number of Western partners. 

Any blocking measures targeting Wison could have ripple effects for its European and U.S. partners. The company recently signed a strategic framework agreement with Chart Industries, a U.S. provider of liquefaction technology.

Earlier speculation that Wison may recall the power plant modules once their attempted delivery became public have thus far not materialized. Industry analysts expressed surprise over why Wison would take such a significant risk to its international business and speculated that the company may be facing significant pressure from the Chinese government to deliver the modules to its Russian ally. 

In July the company did recall a different set of modules just days before arriving in Russia when another Chinese heavy lift vessel, Wei Xiao Tian Shi, made a U-turn high in the Arctic and returned to China. 

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