A final investment decision for the $21.3 billion Arctic liquefied natural gas (LNG) 2 project has been approved, Novatek, Russia's largest independent natural gas producer announced Thursday.
The project consists of the development of the Utrenneye field, located in the hydrocarbon-rich Gydan peninsula in the Yamal-Nenets Autonomous District, and the construction of a natural gas liquefaction plant on the Gydan Peninsula in the Russian Arctic region.
The LNG plant will consist of three liquefaction trains with overall production capacity of 19.8 million tons per annum.
The launch of the first LNG train is scheduled for 2023, with LNG trains 2 and 3 due for launch in 2024 and 2026, respectively.
"Novatek has emerged as one of the key players of the global LNG market with the successful launch of Yamal LNG. Today, we have taken another step forward in our goal to become one of the largest LNG producers in the world by approving the final investment decision on our second large-scale LNG project, Arctic LNG 2," Leonid Mikhelson, Novatek’s board chairman said.
By Zeynep Beyza Kilic