Russia’s crucial £32bn Arctic projects that China ‘wants in on’

Putin is aiming to expand Russia's energy production (Image: Getty)

China wants to get involved with huge Russian projects in the Arctic, according to one of Vladimir Putin's ministers. Energy chief Sergey Tsivilyov said that Chinese firms were exploring the possibility of participating in Russia's largest independent gas producer, Novatek's new liquid natural gas (LNG) projects, according to the TASS news service. The company is currently focused on delivering two major schemes in the Arctic: Arctic LNG 2 and Murmansk LNG. The former is located in northern West Siberia and has a planned capacity of 19.8 million metric tonnes per annum.

The facility has been hit by US sanctions, but has started production at its second train, despite being unable to sell liquefied natural gas from the first train, a source familiar with the matter told Reuters. Murmansk LNG, meanwhile, is expected to have two lines that will yield 6.8million tonnes per year each. In addition, China, as well as India, are interested in being looped in on the Snezhinka international Arctic station, which is being built on the Yamal Peninsula in north west Siberia.

Putin and Chines President Xi Jinping met earlier this month (Image: Getty)

The project's website states that it was created on the initiative of the Moscow Institute of Physics and Technology (National Research University) and is a "year-round and fully energy autonomous complex based on renewable energy sources and hydrogen energy."

It adds: "The goal is to test and demonstrate nature-saving technologies of life support, robotics, telecommunications, medicine, biotechnology, new materials, and artificial intelligence solutions."

The station could become more of a collaborative endeavour between BRICS countries - Brazil, Russia, India, China, and South Africa, Russia's Minister for Development of the Far East and Arctic Alexey Chekunkov hopes, according to reports today.

He said: "In compliance with the Arctic zone development strategy, we have been creating the Snezhinka international research station – an autonomous scientific and educational complex using renewable energy sources.

Chekunkov added: "The project is being implemented by MIPT jointly with the Ministry of Education and Science, Yamal's government. China and India have demonstrated interest in the project. Therefore, we hope that it may become international, it may be a project of the BRICS countries."

It comes after Reuters reported that officials from Washington and Moscow have held discussions about the US helping to revive Russian gas sales to the continent, citing eight sources familiar with the talks.

The EU's REPowerEU Plan aims to wean member states off Russian energy.

Gas imports have so far decreased from 45% in 2021 to 19% in 2024.