In October 2017 Novatek signed a preliminary agreement with Kamchatka Territorial Government to build the terminal.
It has promised to invest in local infrastructure, the creation of conditions for gasification of Kamchatka through the use of the stripper gas of the terminal at the energy facilities and the communal services of the peninsula and to create jobs in one of Russia’s most remote territories.
Novatek wants to develop Kamchatka to tranship LNG cargoes loaded onto icebreaking LNG carriers at its Arctic projects, transferring the cargoes onto conventional vessels for delivery to customers in Asia.
This project will create offshore infrastructure to transship LNG cargoes from ice-breaking LNG ships to standard LNG ships.
The LNG will be produced in LNG projects Novatek is implementing in the Arctic region. The Project will ensure flexible LNG supply to the Asia-Pacific region.
Novatek´s CEO Leonid Mikhelson said «One of the main advantages of creating an LNG transhipment terminal at Kamchatka is its proximity to consumers and the opportunity to ensure flexible sales terms for the key consuming markets of the Asia-Pacific region. The MOU demonstrates a high market interest and relevancy for this type of project to address market needs».
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