--- title: "US and Russia Discussed Alaska Gas Project in Exchange for Easing Sanctions" description: "The US and Russia discussed lifting sanctions on Arctic LNG-2 in exchange for Novatek's participation in a $25 billion Alaska gas project, reports the FT." date: 2026-10-24T08:28:55.300Z lang: en url: https://xab.info/en/posts/us-russia-alaska-gas-project-sanctions tags: [us-russia-relations, alaska-lng, novatek, sanctions, arctic-lng-2, energy-market] author: "Andrey Kosynko" publisher: "XAB.info" --- # US and Russia Discussed Alaska Gas Project in Exchange for Easing Sanctions ![Vladimir Putin and Donald Trump shaking hands in front of a government aircraft](https://xab.info/media/2026/10/24/ssha-rf-gazovy-proekt-alyaska-sanktsii/ssha-rf-gazovy-proekt-alyaska-sanktsii-1.webp) ## Key Points - Lifting sanctions on Arctic LNG-2 was discussed in exchange for Novatek's $25 billion investment in an Alaska project - The Russian company funded the Alaska terminal before obtaining US permits, leading to the resignation of Polar Train LNG management - The project is linked to investor Gentry Beach and interim head Tim Tokington, former head of Goldman Sachs' Russian division - Negotiations take place amid attempts to end the war against Ukraine and partial cancellation of sanctions on Russian diesel supplies Representatives of the United States and Russia held high-level talks regarding the lifting of American sanctions against Russia's flagship Arctic LNG-2 project. As a reciprocal step, the participation of the Russian company Novatek in a major US gas project in Alaska worth 25 billion dollars was discussed. Details of these behind-the-scenes arrangements became known from an investigation by the British publication Financial Times, citing informed sources and internal documentation. ### Financial Involvement Details and Management Resignations According to former Polar Train LNG CEO Joel Riddle, the Russian company Novatek actually financed the Alaska gas terminal project and determined its strategic direction even before obtaining all necessary permits from official US authorities. Riddle stated that due to serious concerns over potential violations of sanctions, he was forced to step down in September. Following his departure, almost the entire top management of the company, including the chief financial officer, resigned. The Financial Times reviewed correspondence in which a top manager at Novatek discusses the financing of the infrastructure project in Alaska and the acceleration of cross-border money transfers. The project was launched with the direct participation of investor Gentry Beach, who has close ties to the family of US leader Donald Trump. Following Riddle's departure, Tim Tokington, the former head of the Russian division of financial giant Goldman Sachs, became the interim CEO. ### Context of Negotiations and Geopolitical Background According to the publication's sources, issues of economic cooperation in the energy sector prominently figured in the dialogue between Washington and Moscow, which is being conducted against the backdrop of attempts to resolve the conflict surrounding Ukraine. The main bargaining chip in these consultations is potential assistance from the Russian side in building a major terminal in Alaska in exchange for the full lifting or easing of restrictive measures against Russia's large-scale Arctic LNG-2 project. Experts note that such energy maneuvers fit into the overall logic of pragmatic interaction between Donald Trump's administration and the Russian leadership. Previously, agreements were reported regarding the supply of Russian diesel fuel to the global market, which also points to a partial revision of strict sanctions barriers against the domestic fuel and energy sector. ### Prospects and Potential Market Impact The potential implementation of the Alaska gas project with Russian capital participation could significantly alter the balance of power in global energy markets. On the one hand, attracting Novatek's investment and expertise could give an impulse to the development of Alaska's infrastructure. On the other hand, official formalization of such deals requires overcoming fierce resistance within the American establishment and finding compromises on the sanctions agenda. Further developments will show whether Washington and Moscow can convert economic projects into political agreements. Any easing of sanctions pressure on flagship Russian LNG assets will set a precedent that could trigger a more large-scale transformation of the international trading architecture in the hydrocarbon sector. ## Fact-Check & Sources - [США и РФ обсуждали газовый проект на Аляске в обмен на ослабление санкций, - FT](https://www.rbc.ua/ukr/news/ssha-ta-rf-obgovoryuvali-gazoviy-proekt-alyastsi-1792827810.html) - Primary news source forming the basis of the material about US-Russia negotiations regarding the gas project. - [Трамп объявил о гигантских инвестициях Сеула в газовый проект на Аляске](https://www.mk.ru/economics/2026/10/01/tramp-obyavil-o-gigantskikh-investiciyakh-seula-v-gazovyy-proekt-na-alyaske.html) - Additional report regarding investments in the Alaska gas project. - [В Сеуле поправили заявления США об инвестициях Южной Кореи в проект на Аляске](https://www.interfax.ru/world/1119606) - Comment by South Korea's trade minister regarding details of American statements on investments. - [Трамп объявил о гигантских инвестициях Сеула в газовый проект на Аляске](https://news.mail.ru/economics/72558545/) - General news context surrounding events in Alaska. ## FAQ ### Which Russian project became the focus of US-Russia negotiations? The focus of discussions is Russia's flagship Arctic LNG-2 project, from which American sanctions are planned to be lifted. ### What is the reciprocal offer from the Russian side? The Russian company Novatek is expected to participate in the financing and construction of a major gas project in Alaska worth 25 billion dollars. ### Why did the management of Polar Train LNG change? CEO Joel Riddle and almost all management resigned due to fears of violating US sanctions while financing the terminal in Alaska.