Novatek boosts its stake in Yamal LNG to 100 percent
JSC Novatek has announced an increase of its ownership stake in JSC Yamal LNG to 100% through the implementation of stock options through its 100 percent owned subsidiary Novatek North West, the company said Friday.
The company implemented options for 23.9% and 25.1% of shares of Yamal LNG through two transactions. Payment for the options will be made in several phases, the final payment is scheduled to be implemented before June 30, 2012.
Yamal LNG project developed by Gazprom includes construction of facilities for production, storage and shipment of liquefied natural gas (LNG) on the basis of Yuzhno-Tambeiskoye field. The Yuzhno-Tambeiskoye field has estimated reserves of 1.3 trillion meters of gas under the 1+2 categories. Under the international classification, the field’s reserves amount to 418 billion cubic meters of gas and 15 million tons of gas condensate.
The LNG plant’s first phase is scheduled to be launched in 2016. The facility will be able to process 15 million tons of gas and produce up to 1 million tons of gas condensate a year. In addition, the project includes the construction of Port of Sabetta.
JSC Novatek (MICEX:NVTK, RTS:NVTK)is the major independent and the second-largest producer of natural gas in Russia. Established in 1994, the company is engaged in the exploration, extraction and processing of gas and liquid hydrocarbons. The company’s fields and licensed sites are located in the Yamalo-Nenets Autonomous District, the region of the world's largest natural gas production, which reserves account for about 83 percent of natural gas production in Russia and approximately 16% of world gas production. Novatek’s Global Depository Receipts are listed on the London Stock Exchange (LSE) under the symbol NVTK and in the NASDAQ PORTAL as NVATY.