Page 9 - FSUOGM Week 16 2021

FSUOGM COMMENTARY FSUOGM

Source: Gazprom.

process,” analysts at BCS Global Markets wrote and also has plans for two more 20mn tpy pro-
in a research note this week. jects in the region, known as Arctic LNG-1 and
Russian petrochemicals group Sibur, which Arctic LNG-3.
also counts Mikhelson as a shareholder, has also According to Russia’s LNG development
weighed in. In December, the company’s head, roadmap, approved last month, the Tambey
Dmitry Konov, proposed to Putin that ethane cluster could support a further 20mn tpy of LNG
in the Tambey fields be separated through gas exports.
liquefaction. Gazprom has its own ambitions for the gas,
“Novatek’s Yamal LNG project, developing however. Besides supplementing its existing sup-
the geologically separate South Tambey field, is ply to Europe, the company also wants to use the
nearby, giving the company a base from which to gas on Yamal to underpin 50bn cubic metres per
relatively efficiently develop the Tambey cluster,” year of exports to China via a second Power of
BCS GM said. Siberia pipeline, through Mongolia.
This said, the Moscow-based brokerage views The company said on April 12 it had com-
it as unlikely that Novatek’s bid will succeed, not- pleted its pre-feasibility study for the project,
ing it was the second time that the company had determining the optimal route for the Mon-
made such a proposal. “But the effort shows that golian section known as Soyuz Vostok. It will
the company is still thinking very big,” its ana- stretch 1,000 km from eastern Mongolia, passing
lysts said. the capital city Ulaanbaatar.
Gazprom’s first Power of Siberia pipeline
Differing supply plans carries gas from the company’s fields in eastern
Novatek’s ambition is to produce up to 70mn Siberia, which are separate from the rest of the
tonnes per year of LNG by 2030, all at projects national gas transport system. Power of Siberia
on the Yamal and neighbouring Gydan penin- 2, on the other hand, will pump gas from the
sulas. Its 17mn tpy Yamal LNG facility, online company’s Yamal and other Western Siberia
since December 2017, will be joined in 2023 by fields, which are mostly used to meet European
the 19.8mn tpy Arctic LNG-2 plant. It is also demand. This will give Gazprom greater flexi-
hoping to launch the 5-6mn tpy Obsk LNG in bility to divert its output to wherever demand is
2024, pending a final investment decision (FID), stronger and prices are higher. ™

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