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World oil prices

Russian gas producer sees prospects for expanding supplies to China — official

Russia's largest independent has producer Novatek has recently made contracts for nearly 3 mln tonnes of future liquefied natural gas supplies to China

© Stanislav Krasilnikov/ITAR-TASS

MOSCOW, April 21. /TASS/. Russia's largest independent has producer Novatek sees prospects of boosting gas supplies to China, Deputy CEO of the natural gas producer Denis Khramov said on Thursday.

"We see prospects of expanding gas supplies to China on a fairly stable and reliable basis," Khramov said.

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The company has recently made contracts for nearly 3 mln tonnes of future liquefied natural gas supplies to China, Khramov said.

"Three million tonnes per year - these are the contracted commitments on supply of future volumes to China. We will perform supplies over a period of 20 years," he added.

Yamal LNG project readiness close to 50%

According to the official, Russia's Yamal LNG project is almost 50% ready.

"Yamal LNG project readiness is close to 50% overall; construction of the plant’s first stage is on track and is already above 50%, meaning that first LNG lots will be shipped to buyers already in 2017. These buyers are present," Khramov said.

Yamal LNG is a large scale project on creating a liquefied natural gas production facility with 16.5 mln tonnes per year capacity. The project involves the creation of transport infrastructure, including a seaport and an airport near the Sabetta village (north-east of the Yamal Peninsula).

The company’s shareholders are Russia’s gas company Novatek - 50.1%, France’s Total - 20%, China’s CNPC - 20% and the Silk Road Fund - 9.9%.

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