Chinese, Russian Majors Ink Arctic LNG Deal

Shailaja A. Lakshmi
Friday, June 7, 2019

Russia's second largest natural gas producer Novatek, Russian maritime shipping company specializing in petroleum and LNG shipping Sovcomflot, Chinese state-owned shipping and logistics services supplier company COSCO Shipping Corporation Limited, and the Chinese government owned investment fund Silk Road Fund, signed a four-party agreement to establish a joint venture Maritime Arctic Transport LLC.

The focus of the Maritime Arctic Transport joint venture is to manage an icebreaking tanker fleet of Arctic ice-class vessels, comprising existing and new vessels, engaged in the transportation of LNG for current and planned NOVATEK projects, namely: Yamal LNG; Arctic LNG 2 and others.

The signing ceremony was attended by: Maxim Akimov, Deputy Prime Minister of Russia; Yury Tsvetkov, Russia’s Deputy Minister of Transport and Head of the Federal Agency for Maritime and River Transport; Oxana Tarasenko, Russia’s Deputy Minister of Economic Development.

The agreement was signed by: Sergey Frank, President and CEO of Sovcomflot; Leonid Mikhelson, Chairman of the Management Board of NOVATEK; Xui Lizhong, Chairman of the Board of Directors of COSCO Shipping Corporation; Wang Yanzhi, President of the Silk Road Fund.

Sergey Frank, President and CEO of Sovcomflot, said: "The sheer scale and level of technical complexity of the new international project to provide safe, year-round, transportation for LNG across the Northern Sea Route have required the combination of a whole range of intellectual, technological, human and financial resources, from leading Russian and Chinese organisations and businesses.”

He added: “We are pleased to participate in this Russian-Chinese consortium in such an important energy project for the economies of our countries. We are pleased to contribute to the joint venture the unique experience and expertise accumulated over ten years by Sovcomflot, gained whilst successfully operating a unique fleet of specialised vessels, serving large oil and gas projects in the Arctic and subarctic marine basins.”

“The project's transport and logistics are consolidated around a single operational platform that will contribute to increased efficiency, safety, and further optimisation of the entire cargo transit traffic system through the waters of the Northern Sea Route, including the Polar Silk Road project", emphasised Sergey Frank.

Categories: Energy LNG Arctic Contract

Related Stories

Borr Drilling Bags Three New Assignments for its Jack-Up Drilling Rigs

Woodside to Shed Some Trinidad and Tobago Assets for $206M

Jadestone Submits Field Development Plan for Assets Off Vietnam

Valeura Wraps Up Infill Drilling Campaign in Gulf of Thailand

Shell Predicts 60% Rise in LNG Demand by 2040 with Asia Leading the Way

Tokyo Gas Enters LNG Market in Philippines

Initial Drilling Results Raise Questions on South Korea’s Offshore Gas Viability

US Operator Finds Oil Offshore Vietnam

Saipem’s Castorone Vessel on Its Way to Türkiye’s Largest Gas Field

Flare Gas Recovery Meets the Future

Current News

Mitigate SCC & HE to Keep Offshore Metal Structures Ship Shape

India Stretches Bids Deadline for 13 Offshore Deep-Sea Mineral Blocks

Indonesia Awards Oil and Gas Blocks to Boost Reserves

Sapura Energy Nets $22.6M in Offshore Support Vessel Contracts

CNOOC Puts Into Production New Oil Field in South China Sea

Sunda Energy Starts Environmental Consultation for Chuditch-2 Well Drilling Plans

Pakistan’s OGDC to Start Production at ADNOC’s Offshore Block by 2027

Petrovietnam, Petronas Extend PSC for Offshore Block

Sapura Energy Scoops Close to $9M for O&M Work off Malaysia

Hanwha Ocean Marks Entry into Deepwater Drilling Market with First Drillship

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com