Novatek Launches Vysotsk LNG Bunkering Plant

Russian gas producer Novatek has launched full-scale LNG production at its Cryogas-Vysotsk plant in northwest Russia, it said April 24. Novatek has 51% and owns it jointly with state-owned Gazprombank.

Novatek CEO Leonid Mikhelson said the project’s marketing strategy "provides for loading of bunkering vessels, small wholesale LNG sales, and LNG sales as motor fuel to the Baltics, Scandinavia and northwest European markets. Natural gas used as transport fuel reduces carbon emissions and complies with new environmental standards such as the sulphur emissions reductions mandated by IMO 2020. We see potential to expand our commercial presence in this developing LNG market segment.” Formally inaugurating the plant was Russia’s president, Vladimir Putin.

Among its customers will be Hamburg-based fleet operator Nauticor.

The project’s initial design capacity is 660,000 metric tons/yr and its infrastructure includes a 42,000 m³ LNG storage tank and an offloading berth designed to handle LNG carriers with a capacity of up to 30,000 m³. Novatek acquired a 51% participation interest in the Cryogas-Vysotsk project from Gazprombank in July 2017.

This contrasts with Novatek's projects on the Yamal and Gydan peninsulas which have several LNG trains of 5.5mn metric tons/year output each.