DSME canceled the first of the three LNG carriers valued at approximately $270 million as part of the approximately $800 million order. Korean media is saying that the Russians failed to make the second installment on the contract. DSME said it had canceled the first ship to protect its rights but that the order for the second and third vessels currently remain in effect. The Korean media reports suggest that they are facing a similar deadline for the installment payments for the next two vessels. The sanctions enacted by the European Union had a deadline of May 15 for the financial institutions to wind down their dealing with Sovcomflot. The UK imposed similar financial sanctions but extended the deadline to the end of June. The shipbuilding order was originally placed in October 2020 for three ice class Arc 7 LNG carriers each with a capacity of 172,410 cbm. The vessels were to have been operated under a charter to NOVATEK and its subsidiaries Yamal LNG and the Arctic LNG 2 project.