Shares of French Technip Energies plummeted when it became known that it helped Russia build a plant

Shares of the French engineering company Technip Energies fell by more than 18% on the Paris Stock Exchange after Le Monde published an investigation into its participation in the Russian project to build the Arctic LNG 2 liquefaction plant.

Source. Reuters writes about it.

It is noted that this is the largest drop in one day in the company's history.

According to Le Monde, Technip Energies supplied equipment for the project between August and October 2022, when it was already banned by sanctions.

In a comment to the newspaper, a company representative claimed that the products supplied were not subject to the ban because they were not strategic.

In July 2023, Technip announced that it had completed its exit from the project without financial losses (although this is rarely the case with Western businesses leaving the Russian market).

In a press release issued in response to Le Monde's article, the company said:

"Technip Energies has been working with the relevant authorities and complying with the sanctions imposed successively by the European Union, the United States and the United Kingdom. Given the number and complexity of the sanctions, the company has performed a thorough analysis of all equipment exports, including thousands of components of the two service modules delivered after May 2022, to ensure that the correct customs codes were applied."

"Technip Energies has acted responsibly in its role in the Arctic LNG 2 project by strictly complying, in order of priority, with international sanctions and its contractual obligations," the company said in a statement.

Background. As reported, the German machine-tool manufacturer DMG Mori continues to operate in Russia and supply products to military plants.