Russian Gov’t extends due date for loans for five LNG carriers for Arctic LNG 2 project until 2027
Fifteen Arc 7 class LNG tankers are under construction at SC Zvezda
The Russian Government has extended maturity date for loans for the construction of five LNG carriers ordered for the Arctic LNG 2 project. The due date was extended until 2027. The corresponding order of the Cabinet of Ministers is posted on the official legal acts website.
The loan maturity under agreements concluded between the state development corporation VEB.RF and Russian legal entities participating in the implementation of the Arctic LNG 2 project is extended, with a corresponding increase validity periods of state guarantees of the Russian Federation, the document reads.
According to the appendix, the issue is loan agreements concluded under shipbuilding contracts in 2019 through 2020 in relation to icebreaking liquefied natural gas (LNG) tankers of the Arc 7 class (serial numbers 041, 042, 043, 044 and 045). Loan agreements were signed between VEB.RF and open liability companies Arctic Leasing-4, Arctic Leasing-5, Arctic Leasing-6, Arctic Leasing-7 and Arctic Leasing-8, respectively. The terms of shipbuilding contracts (including extensions) are September 2024 and June 2025.
The contracts for the construction of Arc 7 class 15 icebreaking tankers for the transportation of liquefied natural gas (LNG) were signed by Bolshoi Kamen, Primorsky Territory based Zvezda Shipbuilding Complex (SC Zvezda) and VEB.RF in December 2019 and July 2020. A steel-cutting ceremony for the lead tanker of the series was held at Zvezda Shipyard in November 2020.
The construction of the series is carried out for the benefit of PAO NOVATEK for the Arctic LNG 2 project. The gas carriers will be operated under long-term time charter agreements.
The Arctic LNG 2 project envisages construction of three LNG trains at 6.6 million MT per annum each, using gravity-based structure (GBS) platforms. The Project is based on the hydrocarbon resources of the Utrenneye field. As of 31 December 2018, the Utrenneye field’s 2P reserves under PRMS totaled 1,138 billion cubic meters of natural gas and 57 million metric tons of liquids. Under the Russian classification reserves totaled 1,978 billion cubic meters of natural gas and 105 million tons of liquids. OOO Arctic LNG 2 owns an LNG export license.
