Russia’s Novatek said on Monday it had signed a framework agreement with Japan Oil, Gas and Metals National Corp (JOGMEC) to cooperate on Novatek’s liquefied natural gas (LNG) projects in the north of Russia, Negtegaz reported.
“The parties agreed to explore opportunities to cooperate on Novatek’s projects in the Yamal and Gydan peninsulas, including the Arctic LNG 2 project, on developing a regular transport link via the Northern Sea Route for LNG deliveries to the Japanese and Asia-Pacific markets,” the statement said.
Novatek controls the Yamal LNG project in which France’s Total along with China’s CNPC and the Silk Road Fund are minority shareholders.
Russian and Japanese companies signed a portfolio of agreements on the sidelines of a forum in Russia’s far eastern city of Vladivostok this week.
On Wednesday, Novatek said it will conclude an agreement with the world’s fourth largest shipping company, COSCO, while establishing a dedicated shipping company for LNG carriers to sail the Northern Sea Route.
The new company Marine Arctic Transport, will also have Sovkomflot, as partner Kommersant reported from the on-going Eastern Economic Forum in Vladivostok.
Main financial partner is the Silk Road Fund, a Chinese state-owned fund aimed to foster increased investment in maritime shipping between Eurasian countries. The Northern Sea Route is one of the new trade routes with increased Chinese focus.
With the new company, intentions to implement new options for year-round shipping of hydrocarbons along the Northern Sea Route will be consolidated. LNG will be sent to the Asia-Pacific region from the Yamal Peninsula and nearby waters, but the company will also organize transit shipments between Western-Europe and Asia via the north.
