Name of the Project
Arctic LNG 2.

Location
The project is located on the Gydan Peninsula, Russia.

Project Owner/s
Novatek.

In March 2019, Total signed the definitive agreements with Novatek for the acquisition of a direct 10% interest in the project. Taking into account Total’s 19.4% stake in Novatek, and Novatek’s intention to retain 60% of the project, Total’s overall economic interest in Arctic will be about 21.6%. Should Novatek decide to reduce its participation to below 60%, Total will have the opportunity to increase its direct share up to 15%.

Novatek and Total have also agreed that Total will have the opportunity to acquire a 10% to 15% direct interest in all Novatek’s future liquefied natural gas (LNG) projects located on the Yamal and Gydan peninsulas.

Project Description
Arctic LNG 2 will develop more than seven-billion barrels of oil equivalent resources in the Utrenneye onshore gas and condensate field.

The project will produce 19.8-million tonnes a year, or 535 000 bbl/d of oil equivalent, and will include the installation of three gravity-based platforms in the Gulf of Ob, on which three liquefaction trains of 6.6-million tonnes a year each will be installed.

Potential Job Creation
Not stated.

Capital Expenditure
The project will cost $21-billion to implement.

Planned Start/End Date
The project’s final investment decision is expected to be taken in the second half of 2019, with plans to start up the first liquefaction train between 2023 and 2025.

Latest Developments
Novatek has officially approved the project.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Too early to state.

Contact Details for Project Information
Novatek investor relations, tel +7 495 730 6013 or press service, tel +7 495 721 2207 or email press@novatek.ru.