SCF, Novatek JV secures funds for Arctic LNG 2 quartet

Image courtesy of SCF

Smart LNG,  a joint venture of Sovcomflot and Novatek, has secured a lease from VEB.RF to finance four Arc7 icebreaking LNG carriers for the Arctic LNG 2 project. 

Image courtesy of SCF

At the same time, Smart LNG signed long-term time charter agreements for these tankers with Arctic LNG 2, Sovcomflot said in a statement.

Earlier, in October 2019, SCF Group signed financing and long-term time charter agreements for the lead vessel in this series.

The design of the series draws upon the experience of operating Christophe de Margerie, the world’s first icebreaking LNG carrier, introduced in 2017, SCF said.

This led to the integration of various advanced engineering solutions into the design. These will provide the new ships with higher icebreaking capabilities and maneuverability, when operating in the challenging conditions across both the Western and the Eastern sectors of the Russian Arctic, compared with Arc7 gas carriers serving the Yamal LNG project, the statement reads.

The vessels will be operated under the Russian Federation flag. The Russian Maritime Register of Shipping (RS) will provide technical supervision during the construction of the vessel series.

Sovcomflot and Novatek established SMART LNG in September 2019, to own and operate a fleet of LNG carriers serving the Arctic LNG 2 projects, as well as other current and prospective Novatek’s projects.