BY CONTINUING TO USE THIS SITE, YOU ARE AGREEING TO OUR USE OF COOKIES. REVIEW OUR PRIVACY & COOKIE NOTICE
X


Russia's Novatek launches Yamal LNG project, 1st cargo loading set for Friday

Moscow (Platts)--5 Dec 2017 724 am EST/1224 GMT


Russia's Novatek said Tuesday that the Yamal LNG project has commenced producing at its first train, with the first cargo scheduled for loading on Friday.

"The first cargo loading is scheduled on 8 December 2017 at the Sabetta port using the first Arc7 ice-class LNG tanker named the Christophe de Margerie," Novatek said in a statement.

The cargo is planned for delivery to China via the Northern Sea Route, a source said earlier.

The project is located on the remote Yamal Peninsula and consists of three trains, each with nameplate capacity of 5.5 million mt/year of LNG.

The second and third trains are expected for launch in the third quarter of 2018 and the first quarter of 2019, respectively, ahead of the initial plan.

"The commencement of LNG production begins a new chapter in our corporate history," Novatek CEO Leonid Mikhelson was quoted as saying in the statement. "Many contractors and suppliers from Russia and abroad were involved in this project...We are grateful to all our partners, contractors and shareholders for the joint work on the way to the successful start of this project on time and on budget according to our FID schedule."

Novatek owns a 51% stake in Yamal LNG and is developing the project with France's Total and China's CNPC.

It also plans to build a fourth train, with capacity of 1 million mt/year of LNG, in order to ensure maximum efficiency for the project and the corresponding infrastructure in the area. It is also considering building another LNG project, Arctic-2, in the area.

Yamal LNG is the second producing LNG project in Russia. The first one, within the Gazprom-led Sakhalin-2 project, has a capacity of 9.6 million mt/year.




Copyright © 2018 S&P Global Platts, a division of S&P Global. All rights reserved.