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Danish shipyard to service Russia-linked LNG tanker amid criticism

Created at 27 Aug · 7:46 AM1 source↑ Market-relevant
IN SHORT

Danish shipyard Fayard is set to receive a third Russia-linked LNG tanker this summer, drawing criticism from Ukraine and environmental groups. The company's participation in a state-backed trade fair pavilion further highlights concerns about Denmark's stance on servicing Russian energy infrastructure.

Key Numbers

3Russia-linked LNG tankers to be serviced by Fayard
1.9 billion eurosValue of Russian Yamal LNG carried by Boris Davydov since last service
60%Yamal LNG's share of Russia's total LNG exports
September 2023Last service date for Boris Davydov at Fayard
June 30Date Fayard serviced the Rudolf Samoylovich tanker
July 23Date Fayard serviced the Georgiy Brusilov tanker
January 2027EU ban on Russian LNG takes effect

Who's Involved

Fayard
Danish shipyard servicing Russia-linked LNG tankers
Boris Davydov
Russia-linked LNG tanker
Urgewald
Environmental and sanctions-monitoring NGO
Yamal LNG
Russia's largest LNG project
Mette Frederiksen
Danish Prime Minister
Alexander Kirk
Sanctions campaigner at Urgewald
Svitlana Romanko
Founder and executive director at Ukrainian Razom We Stand
Danish Export — Marine
Maritime industry group organizing trade fair pavilion
Danish shipyard to service Russia-linked LNG tanker amid criticism

↳ Why This Matters

The situation highlights the complex geopolitical and economic considerations surrounding energy trade with Russia amidst the ongoing conflict in Ukraine, particularly concerning a key EU member state's role in servicing Russian energy infrastructure.

Key facts

  • Danish shipyard Fayard is preparing to service a third Russia-linked LNG tanker, the Boris Davydov.
  • The tanker is part of a specialized fleet for Russia's Yamal LNG project.
  • The NGO Urgewald highlighted that the ship has carried significant amounts of Russian LNG since its last service.
  • Fayard is the last EU shipyard servicing these Russian-linked LNG carriers.
  • The shipyard is scheduled to represent Denmark at the SMM Hamburg maritime trade fair.

Denmark's Fayard shipyard is set to receive a third Russia-linked liquefied natural gas (LNG) tanker, the Boris Davydov, this summer, according to the NGO Urgewald. The tanker, sailing under the Cypriot flag, anchored near Fayard on August 27. Urgewald noted that the ship is part of a specialized fleet of Arc7 LNG icebreaking carriers that ship gas for Russia's Yamal LNG venture, which accounts for over 60% of Russia's total LNG exports. The NGO stated that the Boris Davydov has carried 50 cargoes of Russian Yamal LNG, valued at approximately 1.9 billion euros, since its last service at Fayard in September 2023. Fayard remains the only European Union shipyard still servicing this fleet, drawing criticism from Ukraine, European lawmakers, and Danish Prime Minister Mette Frederiksen. The shipyard is also scheduled to represent Denmark at the SMM Hamburg maritime trade fair from September 1 to 4, under a pavilion organized by Danish Export — Marine with support from the Danish Foreign Ministry. This situation has led to accusations that Denmark is "speaking with two voices," as the Prime Minister has previously called the servicing of these tankers "incomprehensible" and urged Fayard to cease operations. While servicing the tankers is not currently illegal, the EU plans to ban Russian LNG imports in January 2027. Ukrainian advocacy groups have expressed distress that a shipyard contributing to Russia's energy revenue, which funds its war efforts, is being showcased under Denmark's national flag.

Frequently asked questions

Servicing the Russian-linked LNG tankers is not currently illegal under EU sanctions, although an EU-wide ban on Russian LNG is set to take effect in January 2027.

Yamal LNG is one of Russia's largest LNG projects, located on the Yamal Peninsula, and accounts for over 60% of the country's total LNG exports.

Fayard is receiving criticism because it is the last EU shipyard servicing specialized LNG tankers used for Russia's Yamal project, which generates revenue that supports Russia's wartime budget.

What Happens Next

01Fayard is expected to service six Arc7 LNG carriers before the EU ban takes effect.
02The SMM Hamburg trade fair is scheduled to take place from September 1 to 4.

How It Developed

The Boris Davydov tanker anchored near Fayard shipyard on August 27.
Urgewald stated the ship is part of a fleet servicing Russia's Yamal LNG venture.
The tanker has carried 1.9 billion euros of Russian LNG since its last service at Fayard.
Fayard is the only EU shipyard still servicing this Russian LNG fleet.
The shipyard is scheduled to represent Denmark at the SMM Hamburg trade fair.
Campaigners criticized Denmark for presenting Fayard under its national flag.
The Danish Prime Minister previously expressed incomprehension about the servicing of Russian tankers.
Servicing the tankers is not illegal, and EU LNG purchases from Yamal are increasing.

Sources

T1
Danish shipyard to receive another Russia-linked LNG tanker — before representing Denmark at state-backed trade fair pavilionThe Kyiv Independent

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