Norway seizes Russian ship over Naftogaz award

Norway announced on Wednesday that it had taken a Russian vessel at the request from Ukrainian state-owned Naftogaz to ensure the Russian Federation met its obligations.

Since 2016, the Ukrainian company has taken legal action against Russia to seek compensation for Moscow expropriating Naftogaz's property during Russia's annexation of Crimea in 2014.

In April 2023, a tribunal at The Hague ordered Russia to pay Naftogaz a total of $4.22 billion in compensation for assets it had seized in Crimea. However, Moscow has yet to do so.

Naftogaz stated that the seizure had been ordered by the Nord-Troms and Senja District Court, on August 31, 2008. The vessel, Professor Molchanov was owned by Russia, and used for commercial expedition cruises.

Sergii Fedorenko, acting CEO of Naftogaz, said that Russia cannot escape responsibility by simply refusing to obey an international arbitral ruling.

The court's order states that the vessel cannot leave its current position. The Governor of Svalbard must take all necessary measures to stop the vessel being moved.

In a statement, the governor's office stated that the ship had been seized and was being?held indefinitely on the Arctic island?until the court rules otherwise.

The company stated that it would continue to pursue Russian assets in the world until compensation is paid to Naftogaz, and other companies of the Naftogaz Group.

Naftogaz said that it was coordinating enforcement actions across'multiple jurisdictions', including the United States, France, United Kingdom and Finland, where Russian assets were frozen. Russia has appealed the process and claims that no notice was provided.

(source: Reuters)