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Novatek plans LNG reload terminal in Russia’s Far East

Novatek has signed a preliminary agreement with Kamchatka Territorial Government to build the terminal.

Leonid Mikhelson-led Novatek is to build an LNG reloading terminal at Kamchatka in Russia’s Far East, to tranship Arctic LNG cargoes, promoting traffic through the Northern Sea Route and creating a new supply hub for Asia-Pacific customers.

Novatek wants to build the port on the east coast of Kamchatka to offload and split cargoes carried through the Northern Sea Route on board 15 icebreaking LNG carriers that Mitsui OSK, Sovcomflot, Teekay LNG and Dynagas have ordered for charter to Yamal LNG.

Kamchatka is a volcanic peninsula north of Japan that separates the Sea of Okhotsk from the Bering Sea. It is home to fewer than 325,000 people.

Novatek has signed a preliminary agreement with Kamchatka Territorial Government to build the terminal. Mr Mikhelson signed the agreement with regional governor Vladimir Ilukhin. The deal covers transport infrastructure, trading and economic development, research and technology – and the promise of new jobs.

It will also secure gas for local use, tapping the reloading terminal’s boil-off gas to generate power and support Kamchatka utilities.

“The construction of a sea terminal… for reloading operations will optimise the logistics of LNG supplies from the Arctic region, stimulate usage of the Northern Sea Route and create a new LNG-supply hub for Asian-Pacific regional consumers,” Mr Mikhelson said.

Yamal LNG backer Novatek wants to develop a second LNG-export venture in the Russian Arctic. Industry sources have told LNG World Shipping that Novatek wants to scale up Arctic LNG II to export as much as 18 million tonnes a year (mta) of LNG.

Total and Novatek will export 16.5 mta from Yamal LNG, starting full production next year.

 

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News Code: 
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Novatek plans LNG reload terminal in Russia’s Far East

Novatek has signed a preliminary agreement with Kamchatka Territorial Government to build the terminal.
Parvin Faghfouri Azar
Leonid Mikhelson-led Novatek is to build an LNG reloading terminal at Kamchatka in Russia’s Far East, to tranship Arctic LNG cargoes, promoting traffic through the Northern Sea Route and creating a new supply hub for Asia-Pacific customers.Novatek wants to build the port on the east coast of Kamchatka to offload and split cargoes carried through the Northern Sea Route on board 15 icebreaking LNG carriers that Mitsui OSK, Sovcomflot, Teekay LNG and Dynagas have ordered for charter to Yamal LNG.Kamchatka is a volcanic peninsula north of Japan that separates the Sea of Okhotsk from the Bering Sea. It is home to fewer than 325,000 people.Novatek has signed a preliminary agreement with Kamchatka Territorial Government to build the terminal. Mr Mikhelson signed the agreement with regional governor Vladimir Ilukhin. The deal covers transport infrastructure, trading and economic development, research and technology – and the promise of new jobs.It will also secure gas for local use, tapping the reloading terminal’s boil-off gas to generate power and support Kamchatka utilities.“The construction of a sea terminal… for reloading operations will optimise the logistics of LNG supplies from the Arctic region, stimulate usage of the Northern Sea Route and create a new LNG-supply hub for Asian-Pacific regional consumers,” Mr Mikhelson said.Yamal LNG backer Novatek wants to develop a second LNG-export venture in the Russian Arctic. Industry sources have told LNG World Shipping that Novatek wants to scale up Arctic LNG II to export as much as 18 million tonnes a year (mta) of LNG.Total and Novatek will export 16.5 mta from Yamal LNG, starting full production next year. 
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