TotalEnergies Ditches Russia LNG Project in Favor of Lower-Carbon Ambitions

TotalEnergies has completed its exit from Russia's Arctic LNG 2 project by transferring its 10% stake to Novatek subsidiary. This move reduces the company's exposure to Russian liquefied natural gas at a time of ongoing international sanctions on the project.

The transaction reshapes TotalEnergies' geographic risk profile and may affect future LNG-related cash flows and project commitments. As an integrated energy company with a €164.9 billion market cap, TotalEnergies produces and markets oil, biofuels, natural gas, biogas, low-carbon hydrogen, renewables, and electricity across multiple regions.

This exit sharpens the focus on how its global gas and power projects are balanced against its broader low-carbon and electricity ambitions. The company's multi-energy model aims to grow gas and power while pruning higher-risk, higher-carbon assets.