Monday, December 9, 2019

Novatek News

Yamal LNG Exceeds Nameplate Capacity

Image: NOVATEK

Yamal LNG, a liquefied natural gas plant located in Sabetta at the north-east of the Yamal Peninsula, Russia, announced that since the beginning of 2019, the LNG plant produced more than 16.5 million tons of LNG.The Project exceeded its annual nameplate production capacity during the first eleven months of the year, when all three LNG trains were in operation, as the third LNG train was launched at the end of 2018.Yamal LNG has reached 25 million tons of LNG shipped since the start-up of Train 1 in December 2017…

Rebooting What’s Possible in India’s Gas Market

‘To lose patience is to lose the battle’ -Mahatma GandhiIndia is something of a conundrum for global LNG players. I recently returned from a week in Delhi, just as the capital was making headlines for one of the worst episodes of air pollution, while the country’s energy mix remains dominated by cheap domestic coal. At the same time, gas price sensitivity continues to stymie investment and contracting negotiations. Progress has been made with LNG import terminals but delays to pipeline infrastructure and convoluted gas allocation policies frustrate demand growth.

Novatek Launches Arcticgas

Pic: Novatek

Russia's second-largest natural gas producer Novatek announced that Arcticgas, a joint venture between Novatek and PAO Gazprom Neft, commenced commercial production at the East-Urengoyskoye+North-Esetinskoye field within the Samburgskiy license area.It has an estimated annual production capacity of more than one (1) billion cubic meters of natural gas and 0.2 million tons of gas condensate. The new production capacity is located in close proximity to the Company’s existing infrastructure…

Novatek in Talks on LNG Transhipment

Photo: Novatek

Russia's liquefied natural gas (LNG) producer Novatek is in talks to tranship its Yamal cargoes in Norway or Russia's Murmansk because it is unsure of the impact of U.S. sanctions on the Chinese COSCO tankers it uses, a Novatek official said.The United States imposed sanctions on Sept. 25 on state-owned COSCO's subsidiaries, COSCO Shipping Tanker (Dalian) Co and COSCO Shipping Tanker (Dalian) Seaman & Ship Management, for allegedly ferrying Iranian crude.U.S.-listed ship owner Teekay LNG said last week its shipping joint venture in Russia, Yamal LNG, had been "blocked" by the U.S.

Yamal LNG Increases Asia-Pacific Shipments Via NSR

Image: Novatek

Russia’s largest independent natural gas producer Novatek said that its operated Yamal LNG project has shipped 15 cargoes of liquefied natural gas (LNG) to Asia-Pacific markets directly via the Northern Sea Route (NSR) during 3Q19.The eastbound shipments represented about 25% of all LNG dispatched from Yamal LNG during the quarter. Planned 2019 volumes of LNG delivered eastbound to the Asian Pacific markets via the NSR will be increased by more than 4 times compared to last year.A…

Japanese Backers for Novatek's LNG Complexes

Image: Novatek

Russia’s largest independent natural gas producer and LNG project operator Novatek has formed ties with Japan's shipper Mitsui O.S.K. Lines (MOL) and Japan Bank for International Cooperation (JBIC) to collaborate on liquefied natural gas (LNG) projects.The three companies will implement projects for construction of a marine LNG transshipment complexes in Kamchatka Territory and Murmansk Region, including possible acquisition of participation interest in projects and potential financing of projects.“We have already started successful cooperation with Japanese companies in large LNG projects…

GTT Wins Work for Arctic LNG 2

GTT announced on Thursday it has signed a contract with SAREN B.V. (a Russian joint venture of Renaissance Heavy Industries Russia and Saipem) related to detailed design and construction of three gravity based structures (GBS) dedicated to the Arctic LNG 2 project, for the Russian liquefied natural gas (LNG) producer PAO NOVATEK. The contract concerns the design, construction studies and technical assistance for the membrane containment system of the LNG and ethane tanks to be installed inside the three GBS.The first two GBS will each consist of two LNG storage tanks of 114…

Saibu Gas, Novatek JV to Market LNG

Image: Novatek

Japanese natural gas distribution company Saibu Gas and Russian LNG project operator Novatek revealed plans to form a joint venture.Novatek announced that it has signed the Heads of Agreement (HoA) with Saibu Gas in the presence of the Minister of Economic Development of the Russian Federation Maxim Oreshkin.According to the Agreement, the Parties intend to establish a joint venture focused on marketing LNG and natural gas to end customers and developing the business for bunkering and gas-fired power generation in Japan and the Asian region…

Eesti Begins LNG Bunkering in Hanko Port

Image: Eesti Gaas

Estonian energy company Eesti Gaas began providing liquefied natural gas (LNG) bunkering services to LNG-powered vessels in the port of Hanko, Finland, for the first time in addition to Tallinn and Helsinki.For the port of Hanko, this means scheduled LNG bunkering on its premises, and Eesti Gaas will be providing the service to two new ships in addition to Tallink’s Megastar.The two ships bunkered by Eesti Gaas in the port of Hanko are the largest dual fuel LNG vehicle carriers in the world.

Green Light for Arctic LNG 2

Image: Novatek

The $21.3 billion Arctic liquefied natural gas (LNG)-2 project on the Gydan Peninsula headed by the Russian largest independent natural gas producer Novatek won a green light on Thursday.The project will have a production capacity of 19.8 million tons per year (Mt/y) and is expected to export its first LNG cargo by 2023, the second and third train to start up by 2024 and 2026.Total has a direct 10% interest in Arctic LNG 2 alongside Novatek (60%), CNOOC (10%), CNPC (10%) and a Mitsui-Jogmec consortium, Japan Arctic LNG (10%).

Novatek Signs MoU with Petronet LNG

Image: Novatek

Russia’s largest independent natural gas producer Novatek signed a memorandum of understanding (MoU) on cooperation with India’s largest liquefied natural gas importer Petronet LNG.The MoU envisages delivering LNG supplies from Novatek's portfolio to the Indian market, including natural gas supplies for power generation, as well as investment by Petronet LNG in Novatek's future LNG projects and the joint marketing of LNG as motor fuel in India, including joint investment in developing…

Novatek Signs LNG Pact with Chukotka

Pic: Novatek

Russia's largest independent natural gas producer Novatek has signed a cooperation agreement with the Government of the Chukotka autonomous area, situated in the Russian Far East.As per the agreement, Novatek will consider supply LNG for use in power generation, and as fuel for transport and mining operations."The Russian Federation fully supports the development of the Northern Sea Route as a yearly navigational route connecting the Asian Pacific and European markets. When our LNG transshipment complex in the Kamchatka Territory and the Arctic LNG 2 project become fully operational…

Novatek Wins Arctic Gas Field

Pic: Novatek

Novatek said that its wholly-owned subsidiary Arctic LNG 1 has won an auction for a geological survey, exploration and production license for the subsoil area including the Soletsko-Khanaveyskoye gas field.The license is located on the Gydan peninsula in Yamal-Nenets Autonomous Region, said the natural gas producer in Russia.The license area has estimated hydrocarbon resources of 2,183 billion cubic meters of gas and 212 million tons of liquids, or 16 billion barrels of oil equivalent…

Estonia's Eesti Energia to Import Novatek Gas

Pic: Klaipedos nafta

Estonia's energy group Eesti Energia is all set to import gas from Russia's largest private gas company Novatek via Lithuania's LNG terminal based in Klaipeda, which is operated by KN,  in September.The contract with the new Klaipeda LNG terminal user was signed on Thursday. It is planned that the first cargo of  Eesti Energia in the history of Klaipėda LNG Terminal will arrive in Klaipėda at the end of September. “The contract signed with Eesti Energia confirms that the conditions for using our reliable terminal satisfy the users of the terminal and natural gas users in Lithuania and abroad.

Saipem Joins JV for Arctic LNG2 Project

Image: Novatek

Italian oil and gas industry contractor Saipem reached a deal on Friday to participate in a joint engineering venture for a liquefied natural gas (LNG) project in the west of Siberia.The subsidiary of Eni said in a press release that it has has reached an agreement with Technip France SA and NIPIgaspererabotka to participate in the Joint Venture for the realization of the Arctic LNG2 project.The project has been awarded by Arctic LNG2, a company formed by Novatek JSPC (60%) and Ekropromstroy Ltd (40%).It comprises the detailed design…

Vladimir Rusanov Opens Northern Sea Route

Image: PAO Novatek

Russian natural gas producer Novatek announced that the Arc7 ice-class LNG tanker 'Vladimir Rusanov' completed the Northern Sea Route (NSR) passage via the Eastern direction, delivering an LNG cargo from the Yamal LNG project, at the port of Sabetta, to China's port of Tianjin.The 168,560 cbm vessel shipped transited the ice-covered part of the route in only 6days, setting a new record for independent passage via the NSR without ice-breaking support with cargo on board.The net voyage time from Sabetta to the destination port was completed in a record 16 days…

TechnipFMC: Record Orders, Backlog in Q2

(Photo: TechnipFMC)

Franco-American oil services company TechnipFMC received a record volume of orders in the second quarter, pushing its backlog of projects to a peak thanks to new liquefied natural gas projects, it said on Wednesday.The records could signal a rebound for the company created by a 2016 merger of France's Technip and U.S. rival FMC Technologies to weather the oil price crash that had forced their oil major clients to slash budgets and shelve projects."We achieved record inbound orders in the quarter…

South-Khadyryakhinskoye Gas Flows

Image: Novatek

Russian largest independent gas producer and LNG player Novatek has begun commercial production at the South-Khadyryakhinskoye gas field, whose capacity is estimated at about 1 bcm of natural gas per year.“The South-Khadyryakhinskoye field is located in close proximity to the Company’s existing infrastructure, which allowed us to quickly commence initial gas production and optimize the field’s capital costs,” said Novatek’s Chairman of the Management Board Leonid Mikhelson.“The…

TechnipFMC Wins $7.6 Bln Contract

(Image: Novatek)

Oil services company TechnipFMC won a $7.6 billion contract with Russia's Novatek and its partners for the Arctic 2 liquefied natural gas project in western Siberia, pushing TechnipFMC's shares higher.TechnipFMC's Paris-listed shares rose 3.2% in early session trading, as analysts welcomed the new contract.TechnipFMC said the consolidated value of the contract to it for Arctic LNG-2 was $7.6 billion and consisted of three LNG trains, each with a capacity of 6.6 million tons per…

Novatek Closes in on Arctic LNG 2

Image: Novatek

Russian natural gas producer Novatek said it had completed the sale of stakes in its Arctic LNG-2 project to two Chinese companies and a consortium of two Japanese companies.The second largest natural gas producer in Russia announced the closing of the sale of participation interests in Arctic LNG 2 Project to wholly owned subsidiary of China National Petroleum Corporation (CNPC), wholly owned subsidiary of CNOOC Ltd. (CNOOC), and the consortium of Mitsui & Co and Japan Oil, Gas…