Moscow fumes as Norway seizes Russian ship

Norwegian authorities have seized a Russian cruise ship in the Arctic at the request of Ukrainian energy company Naftogaz, prompting an angry response from Moscow as the company seeks to enforce a $4.22 billion compensation award over assets Russia seized after annexing Crimea in 2014.

The 71-metre Professor Molchanov was seized late on Wednesday in Barentsburg, a Russian-operated coal-mining settlement on Norway's Arctic Svalbard archipelago. The vessel will remain in Svalbard under an order approved by a Norwegian court.

Russia condemned the seizure as an act of piracy and said it had summoned Norway's ambassador to deliver a strong protest. The Russian Foreign Ministry said it would work to secure the ship's release, accusing Norway of violating international law through restrictions imposed on Russian organisations and citizens operating on Svalbard.

Norway said the matter was between Naftogaz and Russia and did not involve the Norwegian government. Naftogaz has pursued compensation from Russia since 2016 over the expropriation of its property in Crimea. An arbitration court in The Hague ordered Russia in April 2023 to pay the company $4.22 billion, plus interest and legal costs.

Russia has rejected the ruling, saying it does not recognise the court's jurisdiction and will not pay the award. Naftogaz acting CEO Sergii Fedorenko said Russia could not avoid responsibility simply by refusing to comply with an international arbitral award.

Built in Finland in 1982, the Professor Molchanov can accommodate 32 crew members and 52 passengers and has a library, sauna, bar and two restaurants. It is used for scientific expeditions and commercial cruises. The ship had arrived in Barentsburg on Tuesday.