Brazil welcomes its first LNG cargo from Russia’s Yamal

Brazil welcomes its first LNG cargo from Russia’s Yamal
Russian gas producer Novatek announced the first delivery of its liquefied natural gas (LNG) from the Yamal project in the Arctic to Brazil on Monday.

The cargo was delivered to the Bahia regasification terminal, which is owned by Brazil’s energy giant Petrobras.

“Our LNG marketing strategy aims to diversify supply geography and customer base,”  said Novatek’s head Leonid Michelson. 

“This shipment represents the first LNG cargo of our own production to the Latin American market, and shows the viability of our logistical model and unique geographical location of the Yamal LNG project to deliver competitively priced LNG to any part of the world,” he added.

The $27 billion Yamal LNG project began operations last December and has already shipped two million tons of the liquefied fuel. The LNG plant is expected to have three trains with an annual capacity of 16.5 million tons per year when fully operational.

Currently, Novatek ships LNG from two trains with a total capacity of about 11 million tons per annum. The launch of the third stage with a capacity of 5.5 million tons per year is planned for the beginning of 2019.

In September, Novatek announced plans for one additional line able to produce a million tons of LNG per year.

READ MORE: France's energy major Total joins $25 billion Russian Arctic LNG project

Besides Novatek, Yamal LNG’s shareholders also include France’s Total, China’s CNPC and the Silk Road Fund.

For more stories on economy & finance visit RT's business section

Reporting what the mainstream media won’t: Follow RT’s Twitter account