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China’s Foreign Ministry: China, Russia Will Continue Economic Cooperation

 

China’s Foreign Ministry spokesperson also stressed that trade and economic cooperation between China and Russia “should not become the target of any intervention or restriction by a third party.”

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Chinese and Russian companies will continue normal trade and economic interaction, Chinese Foreign Ministry spokesperson Mao Ning said at a briefing, commenting on U.S. sanctions against the Arctic LNG 2 project with the participation of Chinese companies.

We [China] oppose unilateral sanctions and long-arm jurisdiction that lack basis in international law and UN Security Council mandate. China and Russia will remain committed to normal economic and trade cooperation based on mutual respect, equality and mutual benefit, Mao Ning, a spokesperson for China's Foreign Ministry, said at a Regular Press Conference on 26 December.

China’s Foreign Ministry spokesperson also stressed that trade and economic cooperation between China and Russia “should not become the target of any intervention or restriction by a third party.”

What has happened shows that sanctions and pressure do not serve to achieve anything but can only cause negative spillover, Mao Ning added.

The Arctic LNG 2 is the second LNG production-related project of NOVATEK, the largest independent natural gas producer in Russia. The project includes the construction of three lines with an annual capacity of 19.8 million tonnes of liquefied gas per year and 1.6 million tonnes per year of stable gas condensate.

60% is NOVATEK's participation interest in the project (10% – France's TotalEnergies, 10% – China's CNPC, 10% – China's CNOOC, 10% – Japan's consortium of Mitsui and Jogmec).

The U.S. imposed sanctions on Russia's Arctic LNG 2 project on 2 November.

Earlier, foreign shareholders have suspended their participation in Russia’s Arctic LNG 2 project due to U.S. sanctions, the Kommersant reported on Monday. France's TotalEnergies, China’s state oil majors CNOOC and CNPC, as well as Japan’s consortium of Mitsui and Jogmec, have since declared “force majeure” on their participation.

The companies are relinquishing their responsibilities to finance and fulfill offtake contracts, which risks leaving Russia’s NOVATEK to finance the $25 billion Arctic LNG 2 project on its own. For now, Arctic LNG 2 will have to sell the seaborne gas on the spot market.

Chinese shareholders CNOOC and CNPC have asked the U.S. government to exempt the Russian project from sanctions. 

 
27.12.2023