Russia’s Novatek registers new Arctic LNG licence
- Business developments & projects
Russian independent LNG export player Novatek has registered a new licence to underpin its liquefied natural gas expansion activities in the Arctic.
Novatek’s unit Arctic LNG 1 registered licence number SLH 16637 NR for geological survey, exploration and production at the Bukharinskiy licence area on the Gydan peninsula.
Novatek operates the giant Yamal LNG project but is also building its second export project in the Arctic on the Gydan peninsula across the straight from the LNG plant on the Yamal peninsula.
Novatek is also looking to build more LNG export facilities in the area.
The new licence area is partially located in the shallow waters of the Ob and Taz bays in the Yamal-Nenets Autonomous Region, Novatek said on Tuesday.
Novatek has obtained a licence for a period up to 2050.
The licence terms stipulates that the resource base should be used for LNG production at gas liquefaction facilities located in the Yamal region and the adjacent water area, the Russian company said.
The licence area is located near to the Geofizicheskiy and Trekhbugorniy license areas and the Soletsko-Khanaveyskoye field.
Arctic LNG 1, Novatek’s next large-scale LNG project, holds these licence areas.
The Bukharinskiy licence area has estimated hydrocarbon resources of 1,190 billion cubic meters of natural gas and 74 million tons of liquids, or 8.4 billion barrels of oil equivalent.
Novatek says it aims to begin full-scale geological and geophysical activities and start the drilling of the first exploratory well in the upcoming exploration 2020/2021 season.