- Sputnik International
World
Get the latest news from around the world, live coverage, off-beat stories, features and analysis.

Gazprom to pick another partner for Arctic gas field in Sept

Subscribe
MURMANSK, September 12 (RIA Novosti) - Gazprom [RTS: GAZP] will pick another partner in a project to develop the Shtokman natural gas field in the Arctic by the end of this month, the CEO of a Gazprom subsidiary said Wednesday.

The natural gas monopoly has so far invited France's Total to join in the ambitious $30-billion project to develop the Barents Sea field, with estimated gas reserves of 3.7 trillion cu m, designed to supply the Nord Stream pipeline from Russia to Germany under the Baltic Sea.

Yury Komarov, the general director of Sevmorneftegaz, the Gazprom subsidiary running the project, said the new partner will have a 24% stake in the project.

"We are currently in negotiations with Norway's Statoil and Hydro, who have effectively already merged, and U.S. ConocoPhillips," he said, adding that the name of the third partner will be announced by the end of September after negotiations have been concluded.

He had previously said that the project feasibility study would be completed late this year, and preparation work would begin on the site in the second half of 2008. He also said a site for the LNG plant would be selected in November.

Komarov also said contracts for tankers to deliver liquefied gas would be allocated in 2009.

Valery Golubev, a Gazprom top manager, said Tuesday said the company has made up a shortlist of five companies that could be involved in the offshore project, but did not give further details.

Under a July agreement with Gazprom, Total has a 25% stake in the operator, which will own the infrastructure, including production facilities, pipelines and an LNG plant, for 25 years, with the Russian monopoly holding a 75% share. Gazprom's share would shrink to 51% if a third partner emerged.

Another Gazprom manager, Alexander Ananenkov, earlier said the company would only work with foreign partners in the first phase of the project, and would carry out the second and third phases on its own.

Gas production, estimated at 23.7 billion cu m, and gas supplies are planned to be launched by 2013, liquefied gas production and supplies are scheduled to start in 2014 as part of the first phase.

Last year, Gazprom turned down Shtokman partnership offers from Total, U.S. ConocoPhillips and ExxonMobil, as well as Norway's Norsk Hydro and Statoil, and company CEO Alexei Miller said Russia would develop the field alone.

Golubev said that by 2030 Gazprom plans to raise output at Shtokman to 100 billion cu m a year.

Newsfeed
0
To participate in the discussion
log in or register
loader
Chats
Заголовок открываемого материала