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Second Line of Arctic LNG-2 to Begin Construction in July

 
Arctic LNG-2
Photo: Geoenergetics INFO

At the end of July, Novatek plans to begin the second phase of the Arctic LNG-2 project’s construction.

At this stage, gravity-based structures (GBS) will be delivered from the Murmansk plant, starting on July 22. The Murmansk region will become a centre for production of unique LNG platforms. Until now, they have only been used in the North Sea.

Despite sanction pressure and gas shipment issues, Novatek and its partners, including TotalEnergies, continue active collaboration on the Arctic LNG-2 project.

Some competitive advantages of the project:

1) Reduces specific capital costs due to the use of GBS;

2) Develops reserves located onshore;

3) Requires low development and production costs;

4) Opens access to the Asian-Pacific and Atlantic markets.

Arctic LNG-2 is designed to be the largest plant in Russia, with a planned annual production capacity of nearly 20 million tonnes of LNG and 1.6 million tonnes of stable gas condensate.

Applying a concept of GBS construction, as well as extensive localization of equipment and material production in Russia, will significantly reduce the capital costs per ton of produced LNG within this project. This will ensure low production costs and maximum competitiveness in the world LNG markets.

01.07.2024