Danish shipyard still servicing LNG tankers for Russia trade

{"text":[[{"start":7.5,"text":"The Danish shipyard Fayard has continued servicing ice-class liquefied natural gas tankers that provide a critical lifeline to exports from Russia’s Yamal gas plant, despite opposition from the Danish government and an impending EU ban on offering maritime services to Russia-linked ships."}],[{"start":26.65,"text":"Fayard is the only EU shipyard to continue to provide dry-dock services to the Arc7 class vessels, which rely on European yards because of their technical expertise and their proximity to the tankers’ main trade routes, which run from Yamal in Siberia down to ports in north-west Europe. "}],[{"start":45,"text":"Analysis by Urgewald, a non-governmental organisation, shows that six of the 15-strong Arc7 fleet of icebreakers would be due for repair at the Danish yard this summer ahead of an EU ban on services to LNG tankers that operate out of Russia due to come into force from 2027."}],[{"start":64,"text":"Last year, Fayard serviced five tankers that had sailed from Yamal, according to its annual report."}],[{"start":70.5,"text":"The EU’s maritime services sanction aligns with a wider ban from the bloc on the import of Russian gas also from next year, a squeeze on the Russian trade that is likely to cut Yamal’s utilisation rate and push exports towards Asia."}],[{"start":85.55,"text":"In August last year, Dutch-owned Damen, the only other European shipyard operator to service the technically advanced Arc7 fleet, said it would halt its work on the tankers at its French yard in Brest “in line with Dutch foreign policy discouraging Dutch companies from supporting Russian LNG exports”."}],[{"start":null,"text":"

"}],[{"start":103.69999999999999,"text":"Since Russia’s full-scale invasion of Ukraine, Damen has received eight visits from Arc7 vessels, while Fayard has received 15."}],[{"start":113.04999999999998,"text":"Damen is separately facing criminal proceedings from Dutch prosecutors over alleged breaches of EU-Russia sanctions."}],[{"start":119.24999999999999,"text":"Although the servicing activity has never been illegal, Mette Frederiksen, Denmark’s prime minister, said after reports first emerged of the lifeline that Fayard was providing to the Yamal-bound fleet that it was “completely incomprehensible” and they “simply have to stop that”."}],[{"start":135.25,"text":"Villy Søvndal, a Danish MEP and former foreign minister of Denmark, told the FT that it was “deeply concerning if European companies continue helping to sustain Russia’s fossil fuel exports. Denmark has been among Ukraine’s strongest supporters, and that commitment should also be reflected in the decisions made by Danish businesses.”"}],[{"start":156.65,"text":"In the context of the tightening EU sanctions, he added, “European companies should not exploit a final loophole for short-term profit”."}],[{"start":164.8,"text":"Fayard said it supported “the EU in its energy policy and sanctions towards Russia. The [European] Commission has decided LNG from Yamal is necessary for European energy supply until 2027, and therefore, we service specific vessels sailing to European ports delivering the LNG to Europe to ensure maritime safety and support the EU.” "}],[{"start":186.75,"text":"The EU has vastly decreased its imports of Russian gas since February 2022 but it has been slow to rid itself of the last vestiges of the Russian fuel because of the heavy reliance of the continent on external energy resources and high energy costs."}],[{"start":203.35,"text":"Imports from Yamal to the EU increased 17 per cent to 5mn tonnes in the first quarter of 2026 compared to the same period last year, according to analytics group Kpler, as a result of the squeeze on energy supplies caused by the Gulf crisis."}],[{"start":220.5,"text":"Sebastian Rötters, energy and sanctions expert at Urgewald, said it remained a “big question” whether the European owners of the Arc7 fleet, which include the major Greek shipping company Dynagas, would continue to service the vessels given the incoming gas ban. "}],[{"start":237.15,"text":"“If I were Dynagas and I knew from next year I could not export to Europe any more I would begin to think about it. They might not want to invest in it and service them,” he said, raising questions about whether the tankers would be sold to Asian or Russian buyers."}],[{"start":253.65,"text":"In a further step to squeeze Russian energy revenues, the UK government last week published its own ban on the provision of maritime services to ships operating in Russia."}],[{"start":264.85,"text":"Research from the Ukrainian NGO Razom [Together] We Stand has found that UK insurers and fleet managers dealt with more than 10mn tonnes of Russian LNG shipments in the six months between the UK first announcing the ban in December and issuing it this month. "}],[{"start":283.65000000000003,"text":"Eleven of the Arc7 fleet of tankers are covered by UK insurance or other shipping services, of which six are directly managed by the Glasgow-based Seapeak Maritime."}],[{"start":294.00000000000006,"text":"Seapeak did not respond to a request for comment."}],[{"start":297.45000000000005,"text":"“Russia’s fossil fuel revenues are the main funding source for its brutal war against Ukraine,” said Svitlana Romanko, executive director of Razom We Stand, adding that operators were making a “conscious choice” to contribute to Russia’s wartime economy."}],[{"start":319.1,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1780306287_2193.mp3"}