Russia's Novatek Ships First LNG Cargo to Brazil

Russian natural gas producer Novatek (NVTK.ME) has shipped its first LNG cargo to the Brazilian market with LNG produced from the Yamal LNG project.

A statement from PAO Novatek said that its wholly owned subsidiary, Novatek Gas and Power Asia Pte. Ltd. has shipped its first LNG cargo to the Brazilian market with LNG produced from the Yamal LNG project.

 The cargo was delivered to the Bahia Regasification Terminal owned by Petrobras.

“Our LNG marketing strategy aims to diversify our supply geography and customer base,” noted Leonid Mikhelson, Novatek’s Chairman of the Management Board.  

Leonid added: “This shipment represents our first LNG cargo produced by our own production to the Latin American market, and confirms the viability of our logistical model and unique geographical location of the Yamal LNG project to deliver competitively priced LNG to any part of the world.”

PAO Novatek is one of the largest independent natural gas producers in Russia, and in 2017, entered the global gas market by successfully launching the Yamal LNG project.

The $27 billion Yamal LNG project began operations last December and has already shipped two million tons of the liquefied fuel. The LNG plant is expected to have three trains with an annual capacity of 16.5 million tons per year when fully operational.

Besides Novatek, Yamal LNG’s shareholders include France’s Total, China’s CNPC and Silk Road Fund.