Russian independent gas producer Novatek said Wednesday it reached an agreement with a Chinese bank to help implement a Arctic liquefied natural gas project.

Novatek said it signed a memorandum of understanding with the China Development Bank to cooperate on steering capital toward LNG.

"Our strategy envisages a rapid growth of LNG production using international financing sources," Leonid Mikhelson, the chairman of the Novatek board, said in a statement. "We already have a positive experience of cooperating with the China Development Bank on the Yamal LNG project, and we are glad to continue this mutually beneficial cooperation on our new LNG projects."

Novatek, the largest private natural gas company in Russia, leads the project aimed at sourcing the markets in the Asia-Pacific, alongside French energy company Total and the China National Petroleum Corp.

The Yamal LNG project has the capacity to produce about 16.5 million tons of natural gas and exports could target consumers in the Far East. The understanding with the Chinese bank envisions support for a second LNG development in the Arctic.

Separately, Novatek said it signed a strategic cooperation agreement with CNPC, its partner at Yamal, that outlines implementation of a second Arctic LNG project, including the development of infrastructure and trading mechanisms.

"We believe our strategic cooperation agreement will further enhance our mutual relationship as well as open up new opportunities for both companies, utilizing our experience in implementing LNG projects combined with the enormous opportunities in the Chinese market, one of the most perspective gas markets globally," Mikhelson said.

Russian President Vladimir Putin talked up the growing energy partnership with China during a summer visit to Beijing. China is already linked to Russian oil supplies through the East Siberia-Pacific Ocean pipeline and Putin's visit followed reports that China may be a potential investor in Russian oil company Rosneft, on the table as a possible target of a privatization scheme meant to help pull Russia's energy-based economy out of recession.

Tweet

Raton Basin earthquakes linked to oil and gas fluid injections
Boulder CO (SPX) Oct 26, 2017
A rash of earthquakes in southern Colorado and northern New Mexico recorded between 2008 and 2010 was likely due to fluids pumped deep underground during oil and gas wastewater disposal, says a new University of Colorado Boulder study. The study, which took place in the 2,200-square-mile Raton Basin along the central Colorado-northern New Mexico border, found more than 1,800 earthquakes up ... read more

Related Links
All About Oil and Gas News at OilGasDaily.com

Thanks for being here; We need your help. The Space Media Network continues to grow but revenues have never been harder to maintain. With the rise of Ad Blockers, and Facebook - our traditional revenue sources via quality network advertising continues to decline. And unlike so many other news sites, we don't have a paywall - with those annoying usernames and passwords. Our news coverage takes time and effort to publish 365 days a year. If you find our news sites informative and useful then please consider becoming a regular supporter or for now make a one off contribution.
SpaceMediaNetwork Contributor $5 Billed Once credit card or paypal		SpaceMediaNetwork Monthly Supporter $5 Billed Monthly paypal only