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By The Maritime Executive 2019-10-22 19:49:51
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Teekay Corporation and Teekay LNG Partners have announced a resolution to the issue of their connection to COSCO which led to a “Blocked Person” classification affecting their Yamal LNG operations.
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COSCO Shipping Tanker (Dalian) had sanctions imposed on September 25. The U.S. Department of State said the company, along with five others, knowingly engaging in a significant transaction for the transport of oil from Iran in defiance of sanctions set in place in November 2018. U.S. shipowner Teekay LNG had voiced concern, because it is in a joint venture for Yamal LNG shipping with China LNG Shipping (Holdings) – which is 50 percent owned by COSCO Dalian.
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COSCO Shipping Energy Transportation has now completed an ownership restructuring on arms-length terms which has resulted in Teekay LNG’s joint venture partner, China LNG Shipping (Holdings), no longer being classified as a “Blocked Person” under Office of Foreign Assets Control (OFAC) rules. Accordingly, Teekay LNG’s 50/50 joint venture with China LNG, which owns four on-the-water ARC7 LNG carriers and two ARC7 LNG carrier newbuildings, is also no longer classified as a “Blocked Person” under OFAC rules.
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The four existing ARC7 LNG carriers are continuing to operate under their long-term contracts transporting gas from the Yamal LNG project and the remaining two ARC7 LNG carrier newbuildings are expected to deliver in the fourth quarter of 2019.
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source: maritime-executive.com
