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The enterprise’s raw materials will be ethane-containing natural gas from Gazprom’s fields in the Nadym-Pur-Taz region. The port is at the head of the new Nord Stream 2 pipeline.
VEB’s loan will be used to pay for the preparation of pre-project documentation and advance payments on license agreements and contracts, including for equipment, the state-owned corporation said in a statement.
The money will effectively go to the China National Chemical Engineering Group Corporation (CNCEC), which has been chosen as a contractor for the project.
CNCEC and RusGazDobycha signed a contract on October 11 in the city of Chengdu, the capital of the Sichuan province in south-western China.
The result will be “the largest industrial cluster”, one that is unparalleled in Russia, said RusGazDobycha CEO Konstantin Makhov on Tuesday, as cited by VEB’s press service.
“A vertically integrated system of gas supply and processing in Russia is in fact a new economic model for the gas sector. The output of the future complex will have export potential to countries in Europe, Asia, to India and to China. We plan to commission the first line in 2023-2024, and we will reach full capacity in 2025,” Makhov announced.
The complex will process 45bn cubic meters of gas every ear, producing roughly 13mn tons of liquefied natural gas (LNG), up to 3.8mn tons of ethane fraction, up to 2.4mn tons of hydrocarbon gas liquids (HGL) and 200,000 tons of pentane-hexane fraction.
The natural gas, which remains after processing (roughly 19bn cubic meters) will be transported using Gazprom’s gas transport system. A gas and chemicals enterprise will process the ethane received from the complex, and produce up to 3mn tons of various grades of polyethylene. The commissioning of both companies will be synchronized: the first lines in the final quarter of 2023 and the second lines in the final quarter of 2024.
The complex will be operated by the special company RusKhimAlyans (which is owned by Gazprom and RusGazDobycha on a parity basis).
12 RUSSIA Country Report December 2019 www.intellinews.com
