What is TotalEnergies' decision regarding its stake in the Arctic LNG 2 project, and what is the status of the transfer?

TotalEnergies will exit its 10% stake in the Arctic LNG 2 plant in Russia, with the transfer to Nordline — a subsidiary of majority owner Novatek — approved by Russian authorities and set to be completed in the short term, as confirmed by CEO Patrick Pouyanne during the company's second-quarter results call.

Why is TotalEnergies exiting Arctic LNG 2, and what prior financial actions had it taken on the project?

TotalEnergies is exiting Arctic LNG 2 following U.S. sanctions imposed on the project in November 2023 and in light of upcoming EU sanctions that will ban imports of gas from the project starting in 2027; the company had already recorded a $4.1 billion impairment on the project in 2022 and declared force majeure in 2023, and CEO Pouyanne stated the proposed transfer was in the company's interest.