Will Canada become a potential buyer?

The first cargo of Russian LNG was delivered to Canaport LNG terminal in Saint John, NB, by GasLog Hong Kong LNG carrier on July 31, 2018, in the framework of Yamal LNG project of delivery expansion.

“Delivery of this LNG cargo demonstrates a right long-term strategy of our company. We are capable of delivering affordable, safe and environmentally friendly energy to any market in the world at competitive prices,” a financial news agency Prime quotes Mark Anthony Gyetvay, Chief Financial Officer at PAO Novatek, a major shareholder of Yamal LNG. In turn, according to the information obtained from a Canadian industry source by the Natural Gas World, “the cargo was needed to keep the Canaport facilities cold, and the LNG would not be vaporized and delivered into the grid.”

Yamal LNG, a joint venture of Russian Novatek (50.1%), French Total (20%), Chinese CNPC (20%) and Silk Road Fund (9.9%), is based on the Yamal Peninsula, above the Arctic Circle, and constitutes natural gas production, liquefaction and shipping. The project’s first 5.5 mn mt/yr LNG train was launched in December 2017. Two more trains with additional 11 mn mt/yr in total are scheduled to be put into operation in 2018 – 2019. Supposedly, up to 1.2 mn mt/yr of gas condensate will be shipped to Asia-Pacific and European markets from Yamal LNG, when the project works to its full capacity. China is considered among the main consumers.