Executive Departures Follow Sanctions Concerns
The top executives of Polar LNG, a U.S. energy startup focused on developing a natural gas project on Alaska’s North Slope, have all resigned in recent weeks. The departures come six months after the company was launched in March 2026 and follow revelations that Russia’s largest liquefied natural gas (LNG) developer, Novatek, was providing funding to the venture.
Former CEO Joel Riddle stated he resigned in September after discovering that Novatek was financing the company and directing its strategic operations without prior approval from the U.S. Treasury’s Office of Foreign Assets Control (OFAC) or other federal agencies. Riddle told the Financial Times that he felt uncomfortable with the extent of Russian involvement in the project's direction.
Two former Polar LNG executives confirmed to The Wall Street Journal that senior management raised concerns about Novatek’s role with the Administration in early September. Government officials expressed concern regarding the potential implications of the funding arrangement, according to the report.
Riddle noted that during summer funding discussions, he learned Novatek was already financing Polar LNG and directing operations before U.S. regulatory approvals were obtained. Various sources told The Journal there has been no progress in securing an OFAC license for Polar LNG to purchase an unfinished gravity-based structure (GBS) from Novatek.
The Role of Intermediary Firms
Investigations into the funding structure have highlighted the involvement of TechWave, an Abu Dhabi-based engineering firm that provided capital to Polar LNG. Reports indicate that Bjorn Gundersen, a former executive at Novatek, currently works at TechWave, raising questions about the channels through which Russian influence was exerted on the U.S. startup.
Polar LNG plans to utilize a modular gravity-based structure to process gas from the Alaska North Slope project. The company had intended to acquire an unfinished GBS from Novatek, a move that required specific regulatory clearance due to the sanctioned status of the Russian entity.
Company Response and Project Outlook
In response to the leadership shakeup, Polar LNG issued a statement disputing the narrative presented by former executives. The company claimed the changes followed concerns about disgruntled former employee Joel Riddle, alleging he was terminated for cause. Polar LNG further stated it is investigating claims made against him.
The startup asserted that TechWave provided the necessary financing and initiated preliminary engineering work with U.S. contractors. According to the company, all development activities remain in compliance with U.S. laws, despite the controversy surrounding the source of capital.
Despite these assurances, the alleged Russian funding and potential sanctions threat could derail the Polar LNG project entirely. The venture had targeted beginning natural gas deliveries by the end of 2030, a timeline that now faces significant uncertainty as regulatory hurdles remain unresolved and key leadership has departed.