PAO Novatek’s wholly owned subsidiary, Yamal LNG Resource, won the geological survey, exploration, and production licenses for Arkticheskoye and Neytinskoye fields on the Yamal Peninsula in the Yamal-Nenets Autonomous Region. The fields have combined estimated hydrocarbon reserves of 2.9 billion boe, including 413 billion cu m of natural gas and 28 million tons of liquids, according to the Russian hydrocarbon classification system.
The new license areas are close to Novatek’s existing assets on the Yamal Peninsula and expand its resource base for implementing LNG projects.
License terms are for 27 years and resulted in cumulative one-time payments for the subsoil use of RR 13.155 billion ($180 million).
Modules for Train 1 of Novatek’s 19.6-million tonne/year (tpy) Arctic LNG 2 plant are en route from Wison Offshore & Marine’s fabrication yard in Zhoushan, China, to the Gydan Peninsula for installation on the plant’s gravity-based structure. Train 1 is expected to start operations in 2023, with the subsequent two 6.6 million tpy trains following at 1-year intervals.
Arctic LNG 2 will initially use gas from Utrenneye field on the Gydan Peninsula in Yamal-Nenets.