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Gazprom's largest LNG project suspended due to sanctions


фото DR

Gazprom's largest mega-project, the construction of a gas chemical complex near St. Petersburg, has fallen victim to Western sanctions and the withdrawal of Western companies from russia. The launch of the plant in Ust-Luga, which was supposed to process 45 billion cubic meters of gas annually, producing 13 million tons of LNG and 3 million tons of polyethylene, is postponed for at least two years, Leningrad Region Governor Aleksandr Drozdenko said on Tuesday. Informs Mind.


The $40 billion project, of which almost $10 billion was allocated by the state through Vnesheconombank, has lost a key partner in the person of the German concern Linde, which was contracted to design and build the complex.


Despite this, the project will be implemented, Drozdenko said at a press conference in St. Petersburg.


"The only thing is that the project's implementation period is being shifted to the right. For now, by two years," he said, adding that this is "absolutely normal" given the conditions in which the country finds itself.


According to Drozdenko, Linde, which suspended its projects in russia after russia's invasion of Ukraine, acted "not like a partner."


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