France does not anticipate significant risks to European gas supply stemming from sanctions imposed on a Russian LNG project

10 Nov, 2023

France does not anticipate significant risks to European gas supply stemming from sanctions imposed on a Russian LNG project

French Finance Minister Bruno Le Maire, speaking at the Reuters NEXT conference in New York from Paris, conveyed that the recent U.S. sanctions on a significant Russian liquefied natural gas project, in which French oil major TotalEnergies holds a stake, are not currently posing substantial threats to European gas supplies. Le Maire mentioned ongoing discussions between France and U.S. authorities to assess the impact of these sanctions, stating that as of now, they do not seem to present significant risks for European gas provision.

TotalEnergies, with a direct 10% interest in Arctic LNG 2 and a total stake of 21.5% via its holding in Russian gas firm Novatek, has been evaluating the consequences of the U.S. decision on its investments in the project. The sanctions, implemented last week, come with a provision by the Office of Foreign Assets Control, enabling the wind down of transactions associated with Arctic LNG 2 until January 31, 2024. Le Maire mentioned it's premature to determine whether the French oil firm should retain involvement in the venture, highlighting continuous monitoring of the situation and the evaluation of the U.S. decision's implications. He emphasized ongoing communication with U.S. authorities regarding this matter.