Today, Novatek Gas&Power Asia, a trading subsidiary of PAO NOVATEK (NOVATEK) announced at the International Conference & Exhibition on Liquefied Natural Gas in Shanghai, that it has signed a non-binding Heads of Agreement for the supply of LNG with Repsol.

NOVATEK and Repsol Sign Heads of Agreement for LNG Supply from Arctic LNG 2

The Heads of Agreement envisages concluding a 15-year contract with annual supply of one (1) million tons of LNG from the Arctic LNG 2 project as well as other NOVATEK’s projects. The LNG will be delivered ex-ship primarily to markets on the Iberian Peninsula.

“The agreement for the sale of LNG would allow us to increase our market presence on the Iberian Peninsula where Russian pipeline gas is not supplied,” noted NOVATEK’s First Deputy Chairman of the Management Board Lev Feodosyev. “Expanding our supply geography and diversifying our long-term contract customer base is consistent with the Company's strategy to ramp up LNG production in the Russian Arctic.”

Source: NOVATEK