Russian Gas Project to Double Revenue in 2023 Compared to Pre-Sanctions Era

Russia is making money off of these sanctions.

They’ve boosted the Russian economy while harming their competitors.

RT:

The Sakhalin-2 liquefied natural gas (LNG) project is expected to generate twice as much revenue in 2023 compared to its earnings before the Ukraine-related sanctions rained down on Russia’s energy sector, Reuters reported on Thursday, citing industry analysts.

The boost is attributed to long-term contracts with clients from the Asian region, along with higher global energy prices.

Renewed deals with Asian buyers are expected to secure demand for up to 6.5 million tons of the super-chilled fuel annually from Sakhalin 2, according to calculations by the agency and contractual volume data provided by the GIIGNL international group of LNG importers.

The contracts could earn up to $4.5 billion in revenue for Sakhalin 2 shareholders, which include state-run energy giant Gazprom and Japanese companies Mitsubishi and Mitsui, according to Masanori Odaka, a senior analyst on Rystad Energy’s gas and LNG team.

The enterprise is expected to generate another $7.45 billion in 2023 if production remains in line with 2022, while its sales on the spot market are retained at 4.9 million tons, Alexei Kokin, chief analyst at Russia’s Otkritie brokerage, told Reuters.

This is the more important war.

It’s much more important than the shooting war.

Germans should do something.

This has gotten dumb.

Related: Russia’s Budget Surplus More Than Quadrupled in November, Energy Profits Booming Spectacularly