Novatek to sell 50 pct of its Arctic-LNG offtake on spot market

LONDON,  (Reuters) - Independent Russian gas producer Novatek will sell on the spot market half of the production it is entitled to from the Arctic LNG-2 project, its chief executive said.

Plans are for Arctic LNG-2, operated by Novatek, to start operations in 2022-2023 with full production capacity at 19.8 million tonnes a year. Novatek has a 60 percent stake in the project although it may reduce that slightly.

Large liquefaction projects tend to have long-term sales commitments for a large majority of production before building commences. But increasing volumes of liquefied natural gas (LNG) is being sold on the spot market now.

(Reporting by Sabina Zawadzki; Editing by Kirsten Donovan)

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