Natural resources
Novatek subsidiaries win three Yamal gas licenses

Novatek subsidiaries win three Yamal gas licenses

The Russian Government has granted two Novatek subsidiaries licenses to use the Verkhnetiuteiskoye, Zapadno-Seyakhinskoye and Shtormovoye natural gas fields in the Yamal-Nenets Autonomous Area; the relevant directives are posted on the Government website.

"Novatek-Yurkharovneftegaz has won the bidding and shall be licensed to use a subsoil area of federal significance that includes the Verkhnetiuteiskoye and Zapadno-Seyakhinskoye fields located in the Yamal-Nenets Autonomous Area, for geological prospecting, exploration and production of hydrocarbons (a combined exploration and production license)," the Government statement said.

The next directive gives another Novatek subsidiary, Arctic LNG-2, the right to use the Shtormovoye gas field on Yamal. The document is also posted on the Government website. "Arctic LNG-2 shall be licensed to use the area for geological prospecting, exploration and production of hydrocarbons under a combined exploration and production license," the document's reference note reads.

At the end of August, Novatek-Yurkharovneftegaz won the bidding for the Verkhnetiuteiskoye and Zapadno-Seyakhinskoye gas fields, agreeing to pay 6.4 billion rubles for the license. Arctic LNG-2 won the auction for the Shtormovoye field by offering 1.04 billion rubles.

The Zapadno-Seyakhinskoye and Verkhnetiuteiskoye fields contain an estimated 882.4 billion cubic meters of С1 + С2 + С3 gas and 68 million metric tons of gas condensate and oil. Shtormovoye is estimated at 479.4 billion cubic meters of С1 + С3 gas and 39 million metric tons of gas condensate, RIA Novosti reports.