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    Gazprom picks Linde for Ust-Luga gas processing units

Summary

The pair agreed in 2019 to form a joint venture to design processing and liquefaction facilities (picture credit: Gazprom).

by: Joe Murphy

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Natural Gas & LNG News, Europe, Liquefied Natural Gas (LNG), Corporate, Contracts and tenders, Companies, Europe, Gazprom, News By Country, Russia

Gazprom picks Linde for Ust-Luga gas processing units

Russia's Gazprom said on March 26 it had agreed terms to issue an engineering, procurement and site services (EPSS) contract to Germany's Linde for gas processing facilities at its Ust-Luga gas project.

The agreement of intent the pair have signed "outlines the main terms and conditions of a prospective EPSS contract providing for engineering services, equipment supplies, and maintenance of gas processing and off-site facilities," Gazprom said.

Gazprom and Rusgazdobycha plan to commission a $13bn gas complex at Ust-Luga in 2023-2024 that will annually process 45bn m3/year of gas and produce 19bn m3 of piped gas for transport to Europe and 13mn metric tons of LNG. It will also turn out 3.6mn mt of ethane and over 2.2mn mt of LPG.

Gazprom announced in October 2019 it would form a joint venture with Linde to design facilities for the processing and liquefaction of gas.