Russia secretly backed Alaska LNG shipping scheme
The plan to ship LNG off the North Slope by tanker, not by pipeline, was allegedly the work of an American company that raised funds from the United Arab Emirates.
Polar LNG claims on its webiste that “Energy Security Starts in Alaska.”
“President Vladimir V. Putin discussed the plan last month with President Trump’s peace envoys, Steve Witkoff and Jared Kushner, people familiar with the negotiations said, speaking on condition of anonymity to discuss sensitive diplomacy. It is one of a series of energy deals White House officials believe could help smooth relations with Moscow and eventually pave the way to end the war in Ukraine,” the New York Times reports.
“But it turns out that the company was not an all-American affair. The multibillion-dollar project has received secret funding from the same powerful Russian company that was to provide the technology, according to the energy executive who until last month led the U.S. firm and two others involved in company negotiations,” the New York Times said.
“There is no indication that Mr. Witkoff and Mr. Kushner were aware of Polar LNG or its ties to Novatek, even as the broad outlines of the deal came up in their talks with Mr. Putin beginning last year. A U.S. official, speaking on condition of anonymity to discuss the closed-door talks, said that the deal had only been broadly mentioned and that no granular discussions had occurred.”
The episode is a reminder, however, that Witkoff and Kushner, who are assigned by Trump to do lots of things in which they have no expertise or background, are not the ideal actors to represent our nation.
“Joel Riddle, who was chief executive of the company, Polar LNG, until he resigned in September, said he had been misled about the sources of the start-up funding, which ostensibly came from a company in the United Arab Emirates.”
Riddle said he learned that the Russian company Novatek helped bankroll the project.
“It’s not only unlawful, but it’s not in the U.S. interest to have Russian technology controlling the commercialization of Arctic gas in the North Slope,” Riddle told the Times.
Polar LNG claims that Riddle was fired. The new president is Tim Talkington.
“The leadership change follows concerns regarding a disgruntled former employee, Joel Riddle. Riddle was recently terminated from the company for cause. The company is investigating claims concerning Riddle that may result in litigation,” Polar LNG claimed Friday.
Polar LNG says it is not competing with the Alaska LNG pipeline project because there is more than enough North Slope gas for both export ideas.
In a column from which Riddle’s name has been stripped, he said in March: “Polar LNG also reinforces Alaska’s role as both an energy leader and a strategic asset. A consistent American maritime presence in the Arctic—supported by ice-capable vessels and modern infrastructure—strengthens U.S. positioning in a region of growing importance. The project emphasizes responsible development, including minimal tundra disturbance, protection of traditional whaling areas, and CO₂ reinjection to enhance oil recovery while reducing emissions.”
Along with Riddle, chief financial officer Dan Chandra, executive vice-president Jim Smith and executions manager Jody Trantham also resigned, The Financial Times reported.
Riddle told the Financial Times he first thought that Donald Trump Jr.’s friend Gentry Beach was an investor, but that was not true.
“Building an LNG facility in Alaska is a very strategic project for the US and as a patriot I feel this needs to be developed using US technology and funded by US investors, not a Russian company,” Riddle told the Financial Times.
The New York Times said that Novatek released a statement saying “it was moving to acquire ‘minority shareholder’ status in the Polar LNG project — a striking effort by the Russian energy giant to seek ownership of American gas production.”
“The efforts to bring Novatek equipment to Alaska have also included a businessman, Gentry Beach, with ties to the Trump family. A college friend of Donald Trump Jr., the president’s eldest son, Mr. Beach served as a finance vice chairman for Mr. Trump’s 2017 inauguration. Mr. Beach said in February that he had held negotiations with Novatek about bringing its natural gas technology to Alaska.”
Polar LNG had made political inroads in Alaska this year, including meetings with Gov. Mike Dunleavy and a presentation at Dunleavy’s energy conference.
“Riddle is one of at least three Polar LNG executives who recently resigned. As they departed, Trump officials were notified about their concerns related to the secret Russian financing. Mr. Riddle said the executives had urged administration officials to investigate the matter. The Energy Department, where the warning was sent, did not respond when asked about the matter.”
Read the full New York Times story here.
