Novatek Suspends Baltic Sea Terminal Operations Following Suspected Drone Attack

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ICARO Media Group
Politics
21/01/2024 20h22

Novatek, Russia's leading liquefied natural gas producer, has temporarily halted operations at its Baltic Sea terminal after a fire broke out, believed to be the result of a drone attack carried out by Ukraine. The incident occurred at the Ust-Luga complex, situated on the Gulf of Finland, and has forced the company to suspend certain activities at the facility.

The Ust-Luga terminal, located about 170km (110 miles) west of St. Petersburg, primarily processes stable gas condensate into various petroleum products, including light and heavy naphtha, jet fuel, fuel oil, and gas oil. These products are then shipped to international markets, making the port an essential link in Novatek's supply chain.

While it remains unconfirmed by Reuters, Russian media outlets have reported that local residents heard a drone operating in the vicinity before several explosions occurred, leading to the blaze. Sources cited by Interfax-Ukraine claim that the fire resulted from a deliberate special operation carried out by Ukraine's security services.

Officials have emphasized that there were no casualties, and all workers were safely evacuated under the guidance of Alexander Drozdenko, the governor of the Leningrad region. Reports from Russian news agencies indicate that the fire at the Ust-Luga facility has been contained, although two storage tanks and a pumping station have suffered damage.

Novatek issued a statement acknowledging the incident, describing it as a result of "external influence." The company has established an operational headquarters to address the situation and assess the extent of the damage. It is unclear when operations at the facility will fully resume.

The suspected drone attack on the Ust-Luga terminal follows a series of targeted strikes on energy infrastructure between Russia and Ukraine as part of their ongoing war. Both sides aim to disrupt each other's supply lines and logistics, causing economic damage and impeding the flow of crucial resources. Over the past days, Ukraine has been accused of attacks on an oil depot in Russia's Bryansk region and an oil terminal in the Baltic Sea, whereas Russia claims the attacks were unsuccessful.

In response to the incident, a "high alert regime" has been implemented in the area, and authorities have convened for an emergency meeting. Footage shared on Telegram by the Russian news outlet Baza shows towering flames engulfing what appears to be an industrial complex, while nearby international tanker ships were reportedly unharmed.

As the investigation into the suspected drone attack continues, Novatek faces the challenge of swiftly restoring operations at the Ust-Luga terminal, ensuring the uninterrupted supply of its petroleum products to global markets.

The views expressed in this article do not reflect the opinion of ICARO, or any of its affiliates.

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