The Russian liquefied natural gas industry has suffered a painful blow, with a sharp decline in production from the giant Arctic LNG 2 facility, amid tough Western sanctions targeting the Russian energy sector in response to the war in Ukraine.

The production of the facility, which is the cornerstone of Moscow’s plans to expand its liquefied gas exports, fell to its lowest level since last February, indicating Russia’s difficulty in confronting the restrictions imposed on its exports and technologies.

Despite Moscow’s attempts to develop a shadow fleet to transport liquefied natural gas and search for alternative markets, ongoing sanctions, which include restrictions on access to ports and technology, threaten to hinder these efforts.

These developments come at a time when Russia is striving to maintain its position as a major player in the global energy market but faces major challenges with the tightening of Western sanctions and increasing global demand for switching to more sustainable energy sources.