Novatek’s Vysotsk LNG finalizes renewable power deal with Fortum

Finnish state-owned energy firm Fortum is to supply renewable power to Novatek’s medium-scale LNG plant in Russia’s Baltic Sea port of Vysotsk as part of a power purchase agreement revealed on Wednesday.

The deal builds on the memorandum of understanding Novatek and Fortum signed in June last year.

Under the power purchase deal, the electricity requirements of Novatek’s Cryogas-Vysotsk
LNG plant would be fully covered with energy produced at Russian wind farms of Fortum and its joint ventures, Novatek said in a statement.

Purchasing the “green electricity” would allow Novatek to reduce Scope 2 carbon
footprint of the LNG produced by the Vysotsk plant, it said.

“Using green energy to power natural gas liquefaction is an effective way to reduce the LNG’s carbon footprint,” Novatek’s chief executive and Russian billionaire, Leonid Mikhelson, said.

“This is an emerging area of activity for us and we are considering various ways of using wind power in our LNG projects. Buying third-party renewable energy is an economically efficient solution that helps reduce carbon emissions in the region as a whole and contribute to further development of wind farms in Russia,” Mikhelson said.

The Vysotsk facility has a capacity of 660 thousand tons of LNG per year. Its infrastructure includes a 42,000-cbm LNG storage tank but also an offloading berth designed to handle carriers with a capacity of up to 30,000 cbm.

Moreover, the plant mainly sends LNG to the countries of the Baltic Sea Region, including Finland, Sweden, Lithuania and Estonia.

Novatek operates the facility with a 51 percent share while Gazprombank holds the rest.

- Advertisements -

Most Popular

QatarEnergy to further boost LNG output

State-owned LNG giant QatarEnergy said on Sunday it will further boost its liquefied natural gas production from the North...

Deutsche ReGas starts commissioning Mukran FSRU terminal

LNG terminal operator Deutsche ReGas has kicked off commissioning activities at its FSRU-based LNG import facility in Germany’s port...

Hyundai Samho to build LNG carrier quartet for $1.08 billion

South Korea's Hyundai Samho has secured an order to build four liquefied natural gas (LNG) carriers for about $1.08...

More News Like This

Novatek reports profit of about $5.1 billion in 2023

Russian LNG producer Novatek reported a net profit of about 463 billion rubles ($5.09 billion) in 2023. The company...

TotalEnergies issues force majeure over Novatek’s Arctic LNG 2 project

French energy giant TotalEnergies has initiated a force majeure process on the Novatek-operated Arctic LNG 2 project in Russia...

Novatek’s gas sales rose 2.7 percent in 2023

Russian LNG exporter Novatek reported a 2.7 percent rise in its natural gas sales, including LNG, in 2023. Novatek said...

Novatek develops ammonia production tech

Russian LNG exporter Novatek was granted Russian patents for a large-scale ammonia process and a large-scale pure hydrogen process...