Environmental Protection

NOVATEK’s core producing assets are located in the Far North, a harsh Arctic region with vast mineral resources and a fragile and vulnerable environment. Тhe Company is committed to environmental protection in its operations. In 2018, the Company's overall expenses on environment protection and sustainable nature management amounted to RR 2.4 bln.

We would like to highlight the most significant actions in environmental protection and sustainable management in 2018.

The Company built a sewage and water-methanol mixture thermal disinfection unit at the Purovsky Condensate Processing Plant. In terms of pollutants content in effluents, this unit uses state-of-the-art  technologies and meets the stringent Russian requirements for air protection.

The Yamal LNG plant completed and commissioned the treatment facilities for storm water and residential sewage. The waste water is treated to meet regulatory statutory norms and then once treated is discharged into the Ob Bay basin. The treatment process employs mechanical, biological, physical and chemical methods. Treated wastewater is disinfected with ultraviolet irradiation. Chemically and oil contaminated industrial effluents are treated in the treatment plant that brings it in line with quality standards thus enabling injecting them into absorbing formations. Before being injected, the wastewater undergoes separation, two-stage flotation and post-treatment in a pressure sand filter.

NOVATEK is an active contributor to the national objective of converting vehicles to using natural gas as fuel. The Company is developing the market segment for natural gas as a motor fuel by expanding the network of its natural gas retail stations in various Russian regions. We launched a new business area, namely the construction of LNG retail stations and the subsequent use of LNG as an environmentally friendly motor fuel. Converting a vehicle to LNG enables a significant reduction of soot and carbon monoxide emissions compared to conventional fuels (gasoline and diesel).

We drilled our first offshore prospecting well in shallow waters strictly adhering to the stringent environmental standards for activities within the Russian Federation inland seas. We developed an Accidental Spill Response Plan and an environmental monitoring program for the North-Obskiy license area. Regular water monitoring in the Ob Bay of the Kara Sea demonstrated that its hydrochemical and organoleptic properties are in line with the statutory standards. Environmental safety was ensured by multi-purpose emergency response and rescue vessels. Drill cuttings were transported to the port of Sabetta to be further disposed of in an eco-friendly manner.

In Yamal LNG, we carried out a study of marine mammals migration routes and an assessment of LNG shipping impact on their population in the northern part of the Ob Bay and in the southern part of the Kara Sea, including aerial monitoring of their headcount and analysis of seal distribution on ice in the northern part of the Ob Bay (estimated headcount ranges between 3,639 and 5,433 individuals). Baseline data were collected prior to the start of active ice navigation in order to assess and supervise its impact on ringed seals during the ice period, and to develop mitigation measures. One of the tasks that the crews of chartered vessels sailing through the Ob Bay and the Kara Sea should address is to monitor encounters with marine mammals, record the coordinates and distances as well as the numbers and species of animals encountered. In case of dangerous proximity, a vessel must take measures to avoid troubling animals (slow down or divert).

To encourage NOVATEK employees and residents of Purovsky district of the YNAO to preserve the Far North environment and foster environmental awareness, an environment-related photo contest “See and Preserve!” was held. A total of 32 participants from among residents of the Purovsky District, YNAO, and NOVATEK employees submitted 198 works for the contest. A jury consisting of district administration representatives and professional photographers defined the best pictures. In each of the five categories, three winners were announced who received valuable gifts.

In 2018, more than 1,500 employees from the regions where the Company operates took part in “Green Spring 2018”, a Russian national environmental campaign.

Following a re-certification audit by Bureau Veritas Certification Rus, the NOVATEK HSE Management System was confirmed to be in compliance with OHSAS 18001 and a new version of the international standard ISO 14001 Environmental Management System.

The Company’s Arctic Cascade liquefaction technology was recognized by the Vernadsky National Environmental Award in the Innovative Eco-Effective Industrial and Energy Technologies category. This event is an annual competition aiming to discover and promote projects in the area of environment protection and safety. Arctic Cascade, a prospective natural gas liquefaction technology developed and patented by NOVATEK, ensures enhanced performance with lower power consumption and reduced equipment costs. The technology is designed to use equipment from Russian manufacturers.

Environmental monitoring was performed at all of the Company’s license areas and production facilities. During the monitoring process the condition of the environment components is studied, soil, ground, snow cover, water and bed samples are taken. Air contamination level is inspected. The status of fish stock and fodder resources in water areas is studied as are hydrologic and hydrochemical parameters. The samples taken are tested in certified laboratories. Based on the laboratory analysis the condition of the environment components is evaluated as well as its dynamic pattern over the year. The monitoring revealed that the condition of the environment components in the Company's production facility locations is evaluated as stable.

 

PDF NOVATEK Environmental, Industrial Safety and Occupational Health Policy (PDF)