In a move that speaks volumes about shifting global energy dynamics and deepening China–Russia ties, China has just taken delivery of its first cargo of liquefied natural gas (LNG) from a Russian project under Western sanctions. This significant delivery comes mere days before a high-profile summit between Russian President Vladimir Putin and Chinese President Xi Jinping in the northern Chinese port city of Tianjin.
The LNG cargo, transported by the vessel Arctic Mulan, arrived at the Beihai LNG terminal in Guangxi on Thursday. The supercooled gas originated from Russia’s Arctic LNG 2 project, a venture that has faced sweeping sanctions from the US and European Union following Russia’s full-scale invasion of Ukraine in 2022.
What makes this event especially noteworthy is that it’s the first time LNG from this sanctioned project has been delivered directly to an end-user. According to data from energy tracking firms Kpler and LSEG, the gas was shipped from a storage facility in Russia’s Far East, which has only handled output from Arctic LNG 2 — making this shipment a test case for how far the new energy partnerships can go under current geopolitical pressure.
This symbolic delivery comes at a pivotal moment. Over 20 world leaders, including Indian Prime Minister Narendra Modi, are expected in Tianjin for the Shanghai Cooperation Organisation (SCO) summit on Sunday and Monday. Putin’s planned meeting with Xi is anticipated to revive and possibly expand trade ties between the two nations, particularly in energy.
Experts suggest that this delivery could signal a quiet but powerful shift. Anne-Sophie Corbeau of Columbia University’s Center on Global Energy Policy commented on LinkedIn, “China and Russia are testing the waters. If this goes through without any US reaction, it might open the door for more buyers like India.”
While the operator of the Beihai terminal, PipeChina, has not commented publicly, energy analysts say such a transaction likely had some political assurance behind it.
“It’s unlikely this would proceed without a political green light,” said Siamak Adibi, Director of Gas and LNG Supply Analytics at FGE. “China wouldn’t risk it unless they were confident there would be no backlash.”
The Arctic LNG 2 project, developed by Russian company Novatek, was poised to become the largest LNG plant in Russia, with an annual output capacity of nearly 19.8 million metric tons. But international sanctions have severely hampered its potential — until now.
If sanctions on the project are ever eased or bypassed through strategic diplomacy, experts believe up to 12 million tons per year of additional LNG could enter the global market quickly, helping stabilize energy prices.
This moment may represent more than just an energy transaction. It could be a clear message to the world: China and Russia are redefining the boundaries of cooperation — with or without Western approval.
