Russia’s Novatek, the country’s second largest natural gas producer, has announced plans to increase liquefied natural gas (LNG) supplies to Japan. The original plan was to provide Japan with 2 million tons of LNG through the Arctic LNG 2 project, but Novatek now aims to exceed this amount.
The Arctic LNG 2 project, in which Japan holds a 10% stake, is set to start production in 2023. The first production line will begin producing LNG within this timeframe and is expected to reach its full capacity in the first quarter of 2024. The project comprises three production lines, each with a capacity of 6.6 million tons.
The news of Novatek’s plans to increase LNG supplies to Japan comes as the country is considering signing more sales agreements with Russia. Currently, Japan’s 10% stake in the Arctic LNG 2 project equates to 2 million tons of LNG, but discussions are underway to potentially expand this partnership.
The Arctic LNG 2 project is a significant investment for Novatek, with an expected cost of $21.3 billion. This project will strengthen Russia’s position as a major LNG exporter, while also providing Japan with a stable supply of natural gas.
The increase in LNG supplies to Japan demonstrates the growing demand for natural gas in the country, as it looks to diversify its energy sources and reduce its reliance on nuclear power. With Russia being a key player in the global LNG market, this partnership between Novatek and Japan will help meet Japan’s energy needs and deepen economic ties between the two countries.
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(Article source: Jiemian News)
Article source: Interface News