Novatek-operated Yamal LNG project on Friday said it has received the first tranche of financing in the amount of €1 billion provided by Sberbank and Gazprombank under a loan agreement signed in April 2016.
The financing from the Russian banks is part of the project finance package totaling the equivalent of US$18.4 billion, which also includes financing from the National Welfare Fund of Russia and a consortium of Chinese banks, according to a Yamal LNG statement.
Yamal LNG General Director, Evgeniy Kot informed that the first LNG train, which is scheduled to start production in 2017, passed the 70 percent completion stage.
“We recently finalized the hydro-testing of the first cryogenic LNG tank, and the largest modules for the first LNG train have been shipped from the module fabrication yards,” Kot said, adding that the project’s implementation is proceeding according to schedule.
Once completed the Yamal LNG project will have the capacity to produce 16.5 mtpa of LNG.
Shareholders in the project include Novatek with a 50.1 percent stake, CNPC and Total with 20 percent stake each and China’s Silk Road Fund with a 9.9 percent stake.
LNG World News Staff