Novatek, Russia's largest independent gas producer, is ready to sell a 49% stake in the Yamal liquefied natural gas project in Arctic Russia to foreign partners, business daily Kommersant reported on Thursday.
Novatek, which holds the license to develop the giant South Tambei gas field on the Yamal Peninsula with reserves of 1.26 trillion cubic meters of natural gas and 51.6 million metric tons of gas condensate, confirmed to Kommersant that it was holding negotiations with all interested foreign companies.
"The project is expected to have the following structure: 51% will belong to the Russian side while 49% will be held by three or four foreign partners, which will provide financial and technological support to the project," the paper quoted Yevgeny Kot, director of the Novatek department for LNG projects, as saying.
Novatek intends to select two major foreign partners and one or two second-tier companies guaranteeing sales markets, an official of a foreign bidder in the project told Kommersant.
So far the British-Dutch energy giant Shell, U.S.-based ExxonMobil and ConocoPhillips, France's Total and GdF SUEZ, Japan's Mitsui and Mitsubishi, Spain's Repsol and India's ONGC have filed their bids for participation in the project, the paper said.
Novatek's shareholders Gennady Timchenko and Pyotr Kolbin intend to sell 25% and 23.9%, respectively, of their stakes in the project. After the sale, Novatek will retain a controlling 51% stake in the Yamal LNG project, which it purchased from Gazprom for $650 million last year, the paper said.
MOSCOW, July 15 (RIA Novosti)
