Marine Link
Tuesday, July 16, 2024
Maritime Activity Reports, Inc.

EU sanctions 19 ships related to energy, including LNG vessels

Posted to Maritime Reporter on June 24, 2024

Two sources familiar with this matter confirmed on Monday that the European Union would add 27 vessels to its list, including oil tankers and LNG carriers, as part of their latest sanctions against Russia.

The 14th set of sanctions was adopted by the EU countries on Monday. The 14th package of sanctions against Russia was adopted by EU countries earlier on Monday. Details will be published in the EU Official Journal later.

The list includes 19 vessels related to energy, including two Russian floating units for regasification - the Saam, and Koryak.

The two ships, owned by Russia's largest LNG exporter Novatek - and already subject to US sanctions – were intended for trans-shipping LNG out of its new Arctic LNG 2 Project. Russia is in need of ice class LNG ships, and relies on the transshipments to keep them in the Baltic Sea region.

List also includes ships transporting Russian defence equipment as well as Enisey cargo vessel, which EU claims has stolen Ukrainian grain.

The impact of the sanctions on the vessels may not be immediate, given that they already violate western sanctions.

If you are looking for spares, engineers, financing, insurance or in some cases, local pilots, this will all become more difficult. Nicoleta Tuominen is a partner with Dentons and a specialist in navigation, security, and safety equipment.

"If an EU-based company created such a system then others could fix it but not to the exact same standard. The EU doesn't have the extraterritorial impact of US sanctions or their leverage over flag states. The sanctions are placed on tankers because ownership is difficult to trace and you may see an impact at some stage. (Reporting and editing by Gareth Jones, Barbara Lewis, and Julia Payne. Additional reporting by Nerijus Adomiaitis in Oslo, and Paul Carsten, in London.