Yamal LNG investment decision to herald ice-class LNG fleet

OAO Novatek said the Yamal LNG Project would have three liquefaction trains with an annual output capacity of 16.5m tons. The commercial launch of the first train is planned for 2017. The EPC tender for the project has been awarded to Technip and JGC and overall capital expenditure is estimated at $26.9bn.

“The Yamal LNG project is a transformative project for Novatek and a key element in the overall strategy to develop the natural gas resources on the Yamal Peninsula and increase the output of LNG from Russia,” said Leonid Mikhelson, chairman of the management board of Novatek.

Located in Sabetta in the Northeast of the Yamal Peninsula the project will call for the construction of a seaport and an international airport.

Transportation will be provided by up 16 Arc-7 class LNG carriers. Slots for the LNG carrier newbuildings were booked at Daewoo Shipbuilding & Marine Engineering in August this year.

The vessels will be designed to operate in ambient temperatures of up to minus 50°C and independent navigation in ice more than 2.1 m thick. Shipping routes will be both east and westbound, with the Northern Sea Route planned to be used in the summer months.

According to Total, a 20% stakeholder in Yamal LNG, an LNG cargo will be loaded every 38 hours all year round once the facility is in full operation. A fleet six icebreakers will be mobilised to keep the port channel ice free.