The critical cog in Putin’s machine and how British firms help to keep Russian gas flowing into Europe

Published

1 year ago

July 2, 2024

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This is the story of how an obscure company based in an office block on a quiet street in Glasgow became an accessory in Vladimir Putin’s war on Ukraine. It is the story of how Europe and Russia remain locked in a tense relationship of economic dependence, even as they supposedly cut their ties. It is the story of the uncomfortable truth behind why the cost of living crisis came to an end.

But before all of that, it is the story of a ship – a very unusual ship indeed.

If you ever spot the Yakov Gakkel as it sails through the English Channel or the Irish Sea (I first set eyes on it in the Channel but at the time of writing it was sailing northwards, about 20 miles off the coast of Anglesey) you might not find it all that remarkable.

At first glance it looks like many of the other large, nondescript tankers and cargo vessels passing these shores. Its profile is dominated by an enormous blue prow which reaches high out of the water and ends, 50 metres further back, at its unexpectedly angular stern.

Yet the ship’s slightly odd shape – all hull and barely any deck – is the first clue about what makes the Yakov Gakkel so special. Because this is one of the world’s most advanced liquefied natural gas (LNG) tankers, with an unusual trick up its sleeve.

LNG tankers are extraordinary ships, with insides so cleverly engineered they are capable of holding vast amounts of natural gas at temperatures of approximately −163C.

For all that the world is embracing renewable energy, natural gas remains one of the most important energy sources, essential for much of Europe’s heating and power, not to mention its industries. For the time being, there is no cheap way of making many industrial products, from glass and paper to critical chemicals and fertilisers, without gas.

Once upon a time, moving natural gas from one part of the world to another necessitated sending it down long, expensive, vulnerable pipelines, meaning only countries with a physical connection to gas producers could receive this vital fuel. But LNG tankers like the Yakov Gakkel are part of the answer to this problem, since they allow gas producers to send it by sea to anywhere with a terminal capable of turning their supercooled methane back into the gas we use to heat our homes and power our grids.

But the Yakov Gakkel can also do something most other LNG tankers cannot, for that enormous blue double hull allows it to carve through ice, enabling it to travel up into the Arctic Circle and back even in the depths of winter.

And that is precisely what this ship does, more or less constantly: travelling back and forth between Siberia and Europe, through winter and summer, bringing copious volumes of gas from Russia to Europe. It is part of the explanation for how Europe never ran out of gas, even after the Russian invasion of Ukraine.

This is not, it’s worth saying, the conventional wisdom. Back when Russia invaded Ukraine, European policymakers declared they planned to eliminate the continent’s reliance on Russian gas – which accounted for roughly a third of their supplies before 2022.

And many assumed that had already happened – especially after the Nord Stream pipeline, the single biggest source of European gas imports, was sabotaged in late 2022. But while volumes of Russian pipeline gas into Europe have dropped dramatically, the amount of Russian LNG coming into Europe has risen to record levels.

Russia helps Europe replenish gas stores

Today, Europe still depends on Russia for around 15% of its gas, an ever-growing proportion of which now comes in via the sealanes, on tankers like the Yakov Gakkel. And while the US has stepped in to make up some of the volumes lost when those pipelines stopped, only last month Russia overtook the US to become the second biggest provider of gas to the continent. It’s further evidence that those LNG volumes carried on ships through the North Sea, the Irish Sea and the English Channel, are increasing, rather than falling.

This Russian gas has helped Europe replenish its gas stores, it has helped keep the continent’s heavy industry going throughout the Ukraine war. And this dependence has not come cheap: the total amount Europe has paid Russia for LNG since 2022 comes to around €10bn.

The continued presence of Russian gas running through European grids is at least part of the explanation for why European energy prices have fallen so sharply since those post-invasion highs. Back then, many in the market were pricing in a complete end of Russian gas supply to Europe – something that would have had disastrous consequences. But it never actually happened.

Perhaps this explains why the continent’s politicians have, so far, stopped short of banning imports of Russian gas: they are aware that their economy would struggle to withstand another sharp spike in inflation – which would almost certainly eventuate if it stopped taking Russian gas altogether.

This week, European leaders agreed to stop allowing Russia to use its ports to “trans-ship” its LNG – essentially acting as a stop-off point towards other destinations. However, those transshipments account for only a fraction – at most a quarter – of the Russian gas coming in on tankers to Europe. The vast majority ends up in Belgium, France and Spain, heating European homes, fuelling power stations and powering machinery in factories.

While European leaders have imposed wide-ranging sanctions and price caps on shipments of oil, no such controls exist for liquefied natural gas. So the Yakov Gakkel and a fleet of LNG tankers carry on sailing between Siberia and various ports in Europe – Zeebrugge, Dunkirk, Montoir and Bilbao – keeping the continent supplied with the Russian hydrocarbons it still cannot live without.

British firm’s role in lucrative trade

But there is another reason why this ship is particularly unique, for the Yakov Gakkel – this critical cog in the financial machine that helps finance the Russian regime – is actually part-owned and operated by a British company.

That brings us back to a street overlooking the Clyde in Glasgow, where, in a glass-fronted office block, you will find the operational headquarters of a company called Seapeak. The chances are you haven’t heard of Seapeak before, but this business owns and operates a fleet of LNG tankers all across the world.

That fleet includes the Yakov Gakkel and four other LNG icebreakers that ply this Siberian trade. That a British company might be facilitating this lucrative trade for Russia might come as a surprise, but there is nothing illegal about this: the sanctions regime on Russia just turns out to be significantly more porous than you might have thought.

We tried repeatedly to speak to Seapeak – to ask them about the Yakov Gakkel and whether they felt it was appropriate – given the UK has forsworn LNG imports – that a British company and British workers are helping administer this Russian trade. We sent emails with questions. However, they did not respond to our calls or our emails.

When, after weeks of efforts to get a response, I visited their offices in Glasgow, I was met by a security guard who told me Seapeak would not see me without an appointment (which they were refusing to give me). Eventually I was told that if I would not leave they would call the police.

Seapeak is not the only British company helping keep Russian gas flowing. While British insurers are banned from protecting oil tankers carrying Russian crude, there’s no equivalent sanction on Russian LNG ships, with the upshot that many of these tankers are insured by British companies operating out of the Square Mile.

We spent some time tracking another icebreaking tanker, the Vladimir Rusanov, as it approached Zeebrugge. It is insured by the UK P&I Club, which also insures a number of other LNG carriers.

In a statement, it said: “The UK Club takes great care to observe all applicable sanctions regulations in relation to Russian energy cargoes, but the direct carriage of LNG from Yamal to Zeebrugge, and provision of insurance services for such carriage, is not presently sanctioned. If the EU and G7 nations were to change their policy… the Club would of course comply by adjusting or withdrawing its services, as necessary.”

The transport of Russian gas into Europe – its dependence on British operators and insurers – is only one small example of the loopholes and omissions in the UK sanctions regime. But while government ministers have expressed concern about the effectiveness of the broader sanctions regime, there is still scant evidence they intend to tighten up this corner of it.

Before the election was called the Treasury Select Committee was in the middle of collecting evidence for its own inquiry into the regime, which was expected to focus on insurers of vessels taking Russian goods. However, the inquiry was wound up prematurely when the election was called in May.

In the meantime, ships like the Yakov Gakkel carry on taking billions of cubic metres of gas from the gas fields of Yamal in Siberia down to Europe, in exchange for billions of euros. And those and other hydrocarbon revenues are one of the main explanations for how Russia is able to produce more missiles and weapons than the Ukrainians.

So Europe carries on fuelling its industry and its power and heating grids with molecules of gas coming from Siberian gasfields, while assuring itself it’s doing everything it can to fight Vladimir Putin.

It is, in short, a discomforting situation. But given the alternative is to induce another cost of living crisis, there is little appetite in Europe to change things.

World

Dignitas founder dies by assisted suicide aged 92

Published

46 mins ago

December 1, 2025

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Dignitas founder dies by assisted suicide aged 92

The founder of Dignitas, the Switzerland-based assisted suicide clinic, has died aged 92, according to the organisation.

Ludwig Minelli, lawyer and former journalist, died on 29 November shortly before his 93rd birthday.

Mr Minelli lived a life “for freedom of choice, self-determination, and human rights”, said Dignitas in a tribute.

He founded the organisation in 1998 with “a group of like-minded people”.

“At that time, he and his fellow compatriots would never have thought that this association was about to become an internationally active organisation,” said the tribute.

It described Mr Minelli’s belief that trying to “talk someone out of suicide is not a suitable prevention method”.

“Rather, the approach should be taking a person in a seemingly hopeless situation seriously, meeting them at eye level, and showing them all possible options to alleviate their suffering.”

Those options should include “the possibility of ending their own life with professional support, safely and in a self-determined way in a setting that he or she personally deems dignified”, it said, adding that a very small number of people who approach Dignitas end up choosing assisted suicide.

“It is up to the individual to decide which option to choose,” said the tribute.

The Dignitas team said Mr Minelli had “planned succession for a seamless transition” and the organisation would continue its “professional and combative” work.

Although Switzerland has allowed assisted dying since 1942 – provided the motive is not “selfish” – Dignitas became well-known as it allows non-Swiss people to use its clinics.

Despite assisted suicide still being illegal in the UK, people from Great Britain make up the second largest group of Dignitas members, according to the group’s statistics.

Last year, 37 people travelled from Great Britain to die at a Swiss Dignitas clinic.

Those who accompany their loved ones to the clinics can be charged with assisted suicide, although earlier this year, police said a widow who accompanied her husband wouldn’t face charges.

“Whilst [the CPS] concluded the evidential test had been met regarding assisted suicide, it was decided not to be in the public interest to prosecute,” said North Yorkshire Police in a statement at the time.

Anyone feeling emotionally distressed or suicidal can call Samaritans for help on 116 123 or email jo@samaritans.org in the UK. In the US, call the Samaritans branch in your area or 1 (800) 273-TALK.

World

Hong Kong high rise fire: 13 arrested for suspected manslaughter as death toll hits 151

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46 mins ago

December 1, 2025

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Hong Kong high rise fire: 13 arrested for suspected manslaughter as death toll hits 151

Thirteen people have been arrested for suspected manslaughter after Hong Kong’s deadliest fire in decades, officials have said.

At a press conference about the tragedy at Wang Fuk Court, police said 151 people had now died as a result of the blaze – Hong Kong’s worst since 1948 – and that more than 40 are still missing.

An emotional Tsung Shuk Yin, a police official, told reporters on Monday: “Some of the bodies have turned into ash, therefore, we might not be able to locate all missing individuals.”

The fire last week engulfed multiple high rise blocks of flats. Officials overseeing investigations said that tests on several samples of a green mesh that was wrapped around bamboo scaffolding on the buildings at the time of the blaze did not match fire-retardant standards.

Chief secretary Eric Chan told reporters that contractors working on the renovations used substandard materials in hard-to-reach areas, effectively hiding them from inspectors.

The officials said that foam insulation used by contractors also fanned the flames, and fire alarms at the complex were not working properly.

Sky News had previously learnt that residents raised their fears over fire safety connected to extensive renovations on Wang Fuk Court as early as September 2024.

Labour Department acknowledges reply ‘was unclear’

In a statement to Sky News, Hong Kong’s Labour Department acknowledged that, in reply to these complaints, it told residents the mesh was designed to limit objects falling from the scaffolding and that “current safety regulations applied to construction sites by the Labour Department do not cover flame-retardant standards for scaffolding netting or any materials”.

They now acknowledge this reply to residents “was unclear and caused misunderstanding”.

The Labour Department also told residents they judged the risk of a fire on the scaffolding was “relatively low”, because the works did not include activities such as welding.

In its statement to Sky News, the Labour Department says this did not mean the risk was negligible, and also noted contractors had been reminded to “implement fire prevention measures.”

The blaze broke out at the Wang Fuk Court housing complex in the city’s Tai Po district on Wednesday.

Records show the site consists of eight blocks, with almost 2,000 apartments housing around 4,800 residents, including many elderly people.

It was built in the 1980s and has recently been undergoing a major renovation.

On Sunday, more than 1,000 people turned out to pay tribute to the victims of the fire, queuing for more than a kilometre to lay flowers, some with sticky notes attached addressed to the victims.

Man calling for probe detained

Meanwhile, it emerged that police detained Miles Kwan, 24, who was part of a group that launched a petition demanding an independent probe into possible corruption and a review of construction oversight.

An online petition demanding an independent probe into possible corruption and a review of construction oversight drew over 10,000 signatures before it was closed.

Another petition with similar demands attracted more than 2,700 signatures with its plea for “explicit accountability” from the government.

Two people familiar with the matter told Reuters that Kwan was detained on Saturday. The news outlet could not establish whether he had been arrested.

He was pictured leaving a police station in a taxi on Monday afternoon.

Police did not comment on the case, and Hong Kong Security Chief Chris Tang also declined to comment on specific operations at a press conference on Monday.

He added: “I’ve noticed that some people with malicious intent, aiming to harm Hong Kong and national security, have taken advantage of this painful moment for society.

“Therefore, we must take appropriate action, including enforcement measures.”

In a statement about the arrest, Luk Chi-man, executive director of Amnesty International Hong Kong Overseas, said: “We urge the Hong Kong authorities to establish the full facts of last week’s tragedy through a thorough, independent, impartial and open investigation, and to publicly clarify the cause of the fire, hold relevant persons accountable and release all findings without delay.

“It is both a right and a duty for people in Hong Kong to demand this kind of accountability; but rather than recognise this, the Hong Kong authorities have instead chosen to silence those who raise their concerns and demands.

“A healthy society should not have only one voice.”

World

Rescue efforts continue across south of Asia as floods death toll climbs

Published

4 hours ago

December 1, 2025

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Rescue efforts continue across south of Asia as floods death toll climbs

Rescue and recovery and efforts are underway in parts of South and Southeast Asia where the number of those killed in devastating flooding continues to rise.

The extreme weather last week has killed at least 334 people in Sri Lanka, 502 in Indonesia, and 170 in Thailand, according to authorities.

Rescuers in Sri Lanka are still searching for 370 people after a cyclone hit the island nation, with downpours flooding homes, fields and roads and triggering landslides in the hilly central region.

Nearly a million people have been impacted by the heavy rains and floods, which forced nearly 200,000 into shelters, the country’s disaster management centre said.

People were seen salvaging belongings from flooded homes along the banks of the Kelani river near capital Colombo on Monday.

Meanwhile, train and flight services have resumed after being disrupted last week, but schools stayed closed, officials said.

Cyclone Ditwah was the “largest and most challenging” natural disaster in Sri Lanka’s history, President Anura Kumara Dissanayake said.

The cyclone also brought heavy rain to India’s southern state of Tamil Nadu over the weekend, with authorities saying three people were killed in rain-related incidents.

The storm, which is currently 50km (30 miles) off the coast of the state capital Chennai, has already weakened into a “deep depression” and is expected to weaken further in the next 12 hours, weather officials said on Monday.

Hundreds still missing in Indonesia

In Southeast Asia, close to 700 people were killed as two different cyclones hit the region. Rescuers in Indonesia are still searching for at least 508 people missing, according to official figures.

People have started clearing mud, trees and wreckage from roads on the weekend as recovery operations continued.

More than 28,000 homes have been damaged, with 1.4 million people affected by the rare tropical storm.

The country’s president, Prabowo Subianto, called it a catastrophe and pledged to rebuild infrastructure as he visited the three affected provinces on Monday, where nearly 300,000 people have been displaced by the flooding.

In Thailand, flooding in eight southern provinces affected about three million people and led to a major mobilisation of its military to evacuate critical patients from hospitals and reach people stuck in floodwaters for days.

In the worst-affected city of Hat Yai, a southern trading hub, 335 mm (13 inches) of rain fell on 21 November, its highest single-day tally in 300 years, followed by days of unrelenting downpours.

Prime Minister Anutin Charnivirakul expects residents to be able to return home within seven days, a government spokesperson said on Monday.

The first batch of compensation payments is set to be distributed on Monday, starting with 239m baht (£5.6m) for 26,000 people, the spokesperson added.

In Malaysia there have been at least three deaths and authorities are still on alert for a second and third wave of flooding as 11,600 remain in evacuation centres.