Novatek secures Bukharinskiy licence for another LNG project

Russian oil and gas company Novatek has secured the rights to explore the Bukharinskiy licence through its Arctic LNG 1 unit.

 

Novatek said last week that Arctic LNG 1 won on the auction for geological survey, exploration and production licence for the Bukharinskiy subsoil licence area located on the Gydan Peninsula (on the coast of western Siberia) and partly in the shallow waters of the Ob and Taz bays in the Yamal-Nenets Autonomous Region.

 

The Bukharinskiy licence area has estimated hydrocarbon resources of 1,190 billion cubic metres of natural gas and 74 million tons of liquids, or 8.4 billion barrels of oil equivalent, according to the Russian resource classification system.

 

According to Novatek, the licence term is 27 years and the auction resulted in one-time payment for the subsoil use of 2.35 billion Russian Roubles (US$38 million).

 

The new licence area borders Novatek’s Soletsko-Khanaveyskoye field and the Trekhbugorniy licence area on the Gydan Peninsula, and allows Novatek to increase the resource base for the next LNG project similar to Arctic LNG 2, with liquefaction trains to be located at the Utrenniy terminal.

 

Source: Offshore Energy Today