Novatek, Jogmec sign LNG cooperation deal

Russia’s Novatek, the operator of the giant Yamal LNG project, signed a memorandum of understanding with Japan’s Jogmec to cooperate on liquefied natural gas export projects.

Under the deal, the duo agreed to explore opportunities to cooperate on Novatek’s projects in the Yamal and Gydan peninsulas, including the Arctic LNG 2 project, according to a Novatek statement on Monday.

Novatek and Jogmec also agreed on developing a regular transport link via the Northern Sea Route for LNG deliveries to the Japanese and Asia-Pacific markets, as well as exploring LNG marketing opportunities in the Asia-Pacific region.

The deal was signed following a meeting between the President of Russia Vladimir Putin and the Prime Minister of Japan Shinzo Abe.

“We welcome the expression of interest from international partners to our LNG projects in the Yamal and Gydan peninsulas.” Novatek’s chief Leonid Mikhelson said.

“Our prolific hydrocarbon resource base combined with our experience in implementing large-scale LNG projects and navigating the Northern Sea Route creates a solid platform for mutually beneficial cooperation. Japan is one of the most significant global LNG markets, and we expect further expansion of cooperation in this area which will facilitate the development of trade and economic relations between our countries,” Mikhelson said.