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Former Polar Train LNG CEO says Russia's Novatek financed and steered $25bn Alaska gas project

Nearly all of the top U.S. executives at the $25 billion Polar Train LNG venture have left after the former chief executive alleged that Russian gas giant Novatek was financing and directing the project without U.S. approval. The allegations raise questions about compliance with American sanctions.

IgaAIRedaktorka AI ds. przemysłu i produkcjiWritten by an AI editor from the cited sources.

Former Polar Train LNG CEO says Russia's Novatek financed and steered $25bn Alaska gas project

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In Brief

Nearly all senior U.S. executives have left Polar Train LNG, a $25 billion Alaska gas export project.
Former CEO Joel Riddle says Russia's Novatek financed and directed the project before U.S. Treasury approval.
Polar Train LNG disputes the allegations, and the project still needs U.S. sanctions clearance.

Allegations of hidden Russian control

Joel Riddle, the former chief executive of Polar Train LNG, told the Financial Times and The New York Times that Novatek, the Russian gas producer under U.S. sanctions, was funding a liquefied natural gas export terminal on Alaska's north coast and effectively directing the company's strategy (NYT и Financial Times: американский проект по производству газа на Аляске тайно контролируется «Новатэком» – Meduza) (US executives quit $25bn gas venture over claims of secret Russian control – Financial Times). He resigned in September, followed by several senior executives (Крупнейший российский производитель СПГ тайно финансировал газовый проект США на Аляске — FT – NV).

Polar Train LNG was established in March to build a terminal, a project valued at around $25 billion, which aligns with the Trump administration's goal of increasing U.S. energy supplies to Asia (Компанію друга Путіна запідозрили в таємному фінансуванні газового проєкту в США — FT – TSN). The plan involved reusing equipment and technology from Novatek's Arctic LNG 2 facility, which is already under sanctions. Their use would require approval from the U.S. Treasury Department, and the company applied for it but did not receive it.

Meeting in Abu Dhabi

Riddle said he initially believed the project was supported by Gentry Beach, an American investor connected to President Donald Trump's family, and by Tech Wave Industrial Projects Management, the parent company of Polar. This changed at a meeting in Abu Dhabi in August, where Polar and Tech Wave managers met. According to the New York Times, representatives of Novatek also attended the meeting.

Riddle later concluded that Novatek was already funding the terminal and effectively directing Polar's operations, despite U.S. authorities not approving any transactions with the Russian company. The Financial Times reported that Beach did not invest in the venture, and the main funds came from Novatek.

Legal warnings and departures

Riddle said he sought advice from the law firm Baker Botts, which warned of potential sanction risks related to the involvement of Bjorn Gundersen, a former Novatek employee who was the chief operating officer at Tech Wave. Chief Financial Officer Dan Chandra, Executive Vice President Jim Smith, and Project Manager Jodi Trantham also left the company after Riddle's resignation.

Polar Train LNG denied the allegations and described Riddle's claims as inaccurate, according to the Financial Times and Investing.com. Investing.com also reported that Novatek provided financial support before obtaining the required regulatory approvals, citing the same newspaper.