The Extraordinary General Meeting of Shareholders (“EGM”) of OAO NOVATEK held yesterday resolved to approve a series of related party transactions.
As it was announced by NOVATEK on 21 June 2016, the approved transactions and agreements relate to obtaining project financing for the Yamal LNG project with participation of Russian and international financial institutions in the amount of up to USD 19 billion.
As of today, Yamal LNG has concluded loan agreements in relation to financing from the National Welfare Fund of Russia as well as project financing agreements with Sberbank, Gazprombank, Export-Import Bank of China and the China Development Bank for the amount equivalent to USD 18.4 billion, of which more than USD 4 billion has already been withdrawn.
Yamal LNG is involved in the construction of the 16.5 million tons per annum natural gas liquefaction plant on the base of the hydrocarbon resources of the South-Tambeyskoye field. First LNG production is scheduled for 2017. Yamal LNG shareholders are: NOVATEK (50.1%), CNPC (20%), Total (20%), and Silk Road Fund (9.9%).