Germany Bans State Operators from Accepting Russian Liquefied Natural Gas

Germany has barred its state-operated terminals from accepting Russian liquefied natural gas (LNG), citing national security concerns as the driving factor, according to Financial Times on November 14.

Germany's economy ministry has instructed Deutsche Energy Terminal to “deny all Russian LNG shipments” after the company informed Berlin that its Brunsbüttel terminal was scheduled to receive a Russian LNG cargo.

The ministry emphasized that the order was issued to protect Germany’s “critical national interests,” urging the terminal operator to “reject any Russian LNG deliveries until further notice.”

While the United States and the United Kingdom have already banned Russian LNG, the European Union continues to import it, with 20% of supplies coming directly from Russia. Part of these shipments go to France, Spain, and Belgium under long-term contracts that, according to companies, can only be terminated if a comprehensive ban is imposed.

Germany has not directly imported Russian LNG since the start of Russia’s invasion of Ukraine, and this recent directive “ensures that policy continues.” Nonetheless, Germany’s state-owned energy group Sefe has a long-standing contract with Russia’s Yamal LNG plant, routing most of these deliveries to a French terminal, where they are regasified and integrated into the European pipeline network.

Since October 2022, Germany has been receiving this gas from France via pipeline connections.

It was reported previously that Russia's Arctic LNG 2 project reduced production from its gas fields to nearly zero in November after suspending liquefaction in October due to Western sanctions.