Vedomosti reports that Murmansk LNG is facing delays of years.

Vedomosti reported Wednesday that the start of production for Murmansk LNG - a project to produce liquefied gas led by Novatek - has been delayed by several years. The newspaper cited updated government plans.

The reported delay is another challenge for Russia. It aims to reach a 20% market share on the global LNG by 2030-35, where it will compete with Qatar, Australia, and the United States.

Murmansk LNG is set to be the largest LNG plant in Russia, producing up to 20.4 million tonnes of LNG per year. The first two trains were expected to begin production by the end 2027. A third line was scheduled to begin in 2029.

Vedomosti reported that the plant could now begin production in 2032 when a LNG loading terminal will also be expected to start operation. The report did not give any reasons for the delay.

Russia is also facing delays in another large LNG project - Arctic LNG 2. This project has been sanctioned due to the conflict in Ukraine by the West. The sanctions prevented the company from delivering the cargoes it had purchased to the end users.

Novatek has not responded to our request for comment. (Reporting and editing by Mark Trevelyan; Additional reporting by Oksana Kobizeva)

(source: Reuters)