Sakhalin LNG exports threatened by Russian war risk exclusions

Partners in the Sakhalin-2 LNG export project are negotiating with underwriters to renew war risk terms for LNG shipments to Japan after reinsurers said they will introduce a Russian exclusion clause from 1 January.

According to local reports, Sakhalin-2 underwriters Tokio Marine & Nichido Fire Insurance, Sompo Japan Insurance and Mitsui Sumitomo Insurance have told shipowners they can no longer provide war risk cover for the project from 1 January.