Novatek has announced that it has closed a deal with Total for the sale of a 10% participation interest in Arctic LNG 2. The deal parameters are in line with the binding agreement, signed at the 22nd Saint Petersburg International Economic Forum in May 2018. Following the completion of the deal, Niovatek’s participation interest in the project decreased to 90%.
The Arctic LNG 2 project envisages constructing three LNG trains at 6.6 million tons per annum each, using gravity-based structure (GBS) platforms.
The project is based on the hydrocarbon resources of the Utrenneye field. As of 31 December 2018, the Utrenneye field’s 2P reserves under PRMS totaled 1,138 bn cubic meters of natural gas and 57 mn tons of liquids. Under the Russian classification, reserves totaled 1,978 bn cubic meters of natural gas and 105 mn tons of liquids.