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    Russia Cuts Steel on Second LNGC

Summary

The vessel will serve Novatek's Arctic LNG-2 project.

by: Joe Murphy

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Complimentary, NGW News Alert, Liquefied Natural Gas (LNG), Corporate, Contracts and tenders, News By Country, Russia

Russia Cuts Steel on Second LNGC

The Zvezda shipyard in the Russian Far East has begun building a second Arc7 LNG carrier (LNGC) to serve Novatek's Arctic LNG-2 project.

Zvezda has received orders for a fleet of 15 Arc7 LNGCs for Arctic LNG-2, due to start exporting gas in 2023. Financing for their construction was finalised in September. Work on the first LNGC began in November.

A steel-cutting ceremony for the second tanker took place on January 19, Zvezda and Novatek reported. It was ordered by Smart LNG, a joint venture between Novatek and Russian state shipowner Sovcomflot. 

The new LNGC fleet has increased icebreaking and manoeuvring capability compared with the vessels serving Novatek's Yamal LNG plant. This will ensure year-round LNG shipments along the Northern Sea Route, including its eastern section, the company said.

Zvezda is playing a key role in Russia's efforts to build up its domestic shipbuilding industry and reduce reliance on foreign yards. It has received orders for 50 vessels in total, of which 28 were placed by Rosneft. Besides LNGCs, it is also building oil tankers.

The LNGCs will be Russian-registered and manned with fully Russian crews.

(banner image courtesy of Zvezda shipyard)