Putin allowed the export of LNG without reference to the field – Kommersant

President Vladimir Putin signed a law allowing the export of liquefied natural gas (LNG) without reference to fields. Document published on the legal information portal.

At the beginning of June, the head of NOVATEK, Leonid Mikhelson, proposed adopting such a bill. As an example, he cited the medium-tonnage LNG project “Cryogas-Vysotsk” in the Baltic. Due to the fact that the project was not tied to the field, NOVATEK was forced to enter into a commission agreement with Gazprom Export for export.

The adopted law, which will come into force in 10 days, allows the export of LNG without being tied to subsoil areas of federal significance. Licenses for these subsoil provide for the use of extracted gas for the production of LNG.

Now the export of LNG is allowed to legal entities that are part of the same group with organizations that already have the right to export. Moreover, more than half of the authorized capital in such projects, according to the law, must belong to persons who have the right to dispose of the same share in the capital of exporters.

The second condition for allowing the export of LNG is the implementation by these legal entities of investment projects, which include industry strategic planning documents in the energy sector. Such an investment project should provide for the creation of LNG production facilities with a capacity of more than 20 tons per hour each.

Previously, the right to export LNG was held by Gazprom and companies with state participation of more than 50%, implementing LNG projects from offshore fields or under production sharing agreements (PSAs). NOVATEK exported LNG based on the right of the user of the subsoil plot.

According to the government decree of 2014, Gazprom, Gazprom Export, Gazprom Gas-Nefteprodukt Holding, Rosneft, and NOVATEK subsidiaries – Yamal LNG, Arctic LNG-1, Arctic LNG could export LNG -2″ and “Arctic LNG-3”.

More details in the material “NOVATEK will liquefy its own”.

Anastasia Larina