Pechora LNG from year 2015
The company Alltech intends to construct a LNG plant for its gas fields in the Nenets Autonomous Okrug and a terminal in Indiga on the Barents Sea coast. Production is projected to start in 2015.
As previously reported, the Pechora LNG-plant project was presented at the 10th World LNG Summit in Barcelona, Spain in December last year.
Now, company owner Dmitry Bosov reveals to newspaper Kommersant that both Chinese, Korean and Vietnamese companies are interested in the project. The Pechora LNG will be the first ever LNG project in Russia developed without the participation of Gazprom.
The plant will serve the Korovinskoe and Kumzhinskoe fields which together have estimated reserves of almost 150 billion cubic meters of gas. Production capacity will be an annual of 2,6 billion tons of LNG over a 25 year period, all of which is to be exported to Southeast Asia. The natural gas is to be pipelined 350 km to Indiga on the Pechora Sea coast where the LNG plant and a terminal are to be built. A technical feasibility study of the project was completed by Technip earlier this year, Kommersant reports.
The LNG plant is estimated to have a four billion USD price tag. Both the Chinese company CNOOC, the Korean KOGAS and PetroVietnam are reported to have expressed interest in the project. Analysts believe the Chinese company is likely to win an upcoming project tender and get a 30-49 percent stake in the project.
Leader of Alltech Dmitry Bosov says that a final investment decision is planned made in late 2011. Tenders will be held in 2012, and the LNG plant could be up running in year 2015. It is the subsidiary SN-Neftegaz and its daughter company EuroSeverNeft which is responsible for activities in the Nenets Autonomous Okrug.
As previously reported, also another major LNG project is under planning in the Russian far north. In the Yamal Peninsula, Novatek in cooperation with Gazprom plans the development of LNG plant in connection with the field South Tambey.
The Nenets Autonomous Okrug, which is located in the oil and gas-rich Timan-Pechora province, are among the most perspective petroleum regions in Russia. Several companies are represented in the region, among them Lukoil, Rosneft, ConocoPhillips, Total and Statoil.
