Russia and China Circumvent Sanctions with First "Dark" LNG Transfer

Russia is entering a new phase in its strategy to evade Western sanctions. The country has for the first time conducted a ship-to-ship transfer (STS) of liquefied natural gas (LNG) via a "shadow fleet" in cooperation with a Chinese LNG carrier. Satellite imagery and Automatic Identification System (AIS) data with partially disabled signals indicate this operation took place off the coast of Malaysia on October 18, 2025.

The operation was conducted between the Perle, a vessel with a capacity of 170,471 m³, and the CCH Gas, with a capacity of 145,000 m³. The Perle was carrying its cargo from Gazprom's Portovaya LNG facility—a facility that was sanctioned by the United States in January 2025 and has since struggled to find foreign buyers.

This move is viewed as part of Russia's effort to remove its energy exports from Western oversight. The "dark transfer" method of transporting LNG on the high seas aims to obscure the cargo's origin, preventing buyer countries from facing sanctions consequences.

First "Dark" LNG Operation: A New Milestone

This operation marks the first time LNG carriers are being used for the "dark transfer" tactics that Russia has frequently applied in crude oil shipping.

TankerTrackers co-founder Samir Madani commented on the situation:
"Yes, this is the first dark STS transfer of Russian LNG in this region. CCH Gas did a rather poor job of concealing its AIS signal."

Although Russia has previously conducted hundreds of STS operations in Norwegian and Russian waters, this incident is recorded as the first "dark" LNG transfer off Malaysia's coast.

CCH Gas: An Aged Vessel Transferred from the West to China

CCH Gas, the vessel involved in the operation, is an older LNG steamship built in 2006. During 2024–2025, this vessel was among those sold by Western operators to unnamed Chinese buyers.

The vessel's former name was Condor LNG, and it was divested in early 2025 by Greece-based TMS Cardiff. Currently registered under Hong Kong-based CCH-1 Shipping Co. Ltd., it is managed by Shanghai-based Primepath Shipping Ltd.

This demonstrates that China is now using the elderly LNG fleet it has acquired from the West to help Russia circumvent sanctions. In effect, China has become a functional part of Russia's "shadow logistics network."

Sanctions Impact and Alternative Routes

Gazprom has faced serious difficulties in LNG sales following sanctions on the Portovaya facility. Consequently, Russia is shifting towards covert transfer methods by diverting its energy exports outside official trade channels.

Two months ago, Russia launched direct shipments from Novatek's Arctic LNG 2 project to China's Beihai Terminal. Since then, ten deliveries have been successfully completed.

Although the United Kingdom added Beihai Terminal to its sanctions list last week, China had anticipated this move and rerouted all LNG shipments to alternative terminals. Therefore, sanctions are not expected to be effective in the short term.

A Shadow Era in Global Energy Trade

This development reveals that Western sanctions are driving Russia towards shadow trading networks, with China playing an active role in these networks.

The shutdown of AIS systems even for a commodity as traceable as LNG demonstrates the limitations of oversight mechanisms.

Furthermore, Russia's "dark fleet" strategy is expanding beyond oil shipping to also take root in the natural gas market. This raises serious questions regarding energy security, environmental oversight, and global trade transparency.

Ultimately, China's involvement in this dark LNG operation strengthens the energy alliance between the two countries while establishing a new model of economic cooperation that reduces the impact of U.S. and European sanctions.

Key Points:

• On October 18, 2025, off Malaysia's coast, the first "dark" LNG ship-to-ship transfer (STS) was conducted between the Perle and CCH Gas.

• The operation involved sanctioned gas originating from Gazprom's Portovaya LNG facility.

• CCH Gas, an older LNG steamship acquired from the West, is currently registered under Hong Kong-based CCH-1 Shipping Co. Ltd.

• According to TankerTrackers data, this operation with disabled AIS signals is recorded as the first dark STS example involving Russian LNG.

• Russia is continuing LNG exports through its "shadow fleet" following Western sanctions.

• Shipments from Novatek's Arctic LNG 2 project to China are proceeding in a similar manner.

• The UK's sanctions on Beihai Terminal are proving ineffective as China has rerouted its shipments.

• The development points to the growing role of shadow operations in global energy trade.

----------

News Link: https://gcaptain.com/china-joins-russias-dark-fleet-with-first-ever-lng-ship-to-ship-transfer/

--------------------

!!! NOTICE !!!

Our Book "How to Buy an ERP?" Has Been Published on Google Play Books.

#What Is ERP?

You can download and read it for free via the link https://www.sedatonat.com/erpnasilalinir

Your feedback would make us happy.

We wish you happy reading from the start.