Russia’s Novatek has registered a new licence to underpin its liquefied natural gas expansion activities in the Arctic.
Novatek’s unit Arctic LNG 1 registered licence number SLH 16637 NR.
The registration is for geological survey, exploration and production at the Bukharinskiy licence area on the Gydan peninsula.
Novatek operates the giant Yamal LNG project but is also building its second export project in the Arctic.
The second project is located on the Gydan peninsula across the straight from the LNG plant on Yamal.
Novatek is also looking to build more LNG export facilities in the area.
The licence are is partially located in the shallow waters of the Ob and Taz bays in the Yamal region.
Novatek said on Tuesday it has obtained the licence for a period up to 2050.
The licence terms stipulates that the resource base should be used for LNG production at liquefaction facilities located in the Yamal region and the adjacent water area, the Russian company said.
The licence area is located near to the Geofizicheskiy and Trekhbugorniy license areas and the Soletsko-Khanaveyskoye field.
Arctic LNG 1, Novatek’s next large-scale LNG project, holds these licence areas.
The Bukharinskiy licence area has estimated hydrocarbon resources of 1,190 billion cubic meters of natural gas.
These resources also include 74 million tons of liquids or 8.4 billion barrels of oil equivalent.
Novatek says it aims to begin geological and geophysical activities and start the drilling the first well in the upcoming exploration 2020/2021 season.