- Press Center
- Investor Relations
- Sustainable Development
NOVATEK’s JV Obtains Osenniy License Area in YNAO
19 December 2017
Moscow, 19 December 2017. PAO NOVATEK (“NOVATEK” and/or the “Company”) announced today that its joint venture “Arcticgas” won the bid for a geological survey, exploration and production license for the Osenniy subsoil area located in the Yamal-Nenets Autonomous Region (YNAO). The license area contains estimated hydrocarbon resources of 4,411 million barrels of oil equivalent according to the Russian resource classification. The license term is 25 years and the auction resulted in a one-time payment for the subsoil use in the amount of RR 1.4 billion rubles.
The Osenniy license area borders Arcticgas’ Samburgskiy license area and expands the Company’s hydrocarbon resource base in the Nadym-Pur-Taz region of YNAO. The Company considers this new license acquisition to complement its significant long-term projects to increase deeper-layer hydrocarbon production.
According to the Chairman of the Management Board Leonid V. Mihkelson, “The acquisition of the Osenniy license area supports our recently announced long-term strategy of increasing our natural gas and gas condensate production within reach of the Unified Gas Supply System as well as our goal of increasing our exploration activities. The new license area is part of our strategy to drill deeper into the liquids-rich formations to ensure we fully load our processing facilities to maximize risk-adjusted margins for many years to come”.
PAO NOVATEK is the largest independent natural gas producer in Russia, and in 2017, entered the global LNG market by successfully launching the Yamal LNG project. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company’s upstream activities are concentrated mainly in the prolific Yamal-Nenets Autonomous Region, which is the world’s largest natural gas producing area and accounts for approximately 80% of Russia’s natural gas production and approximately 15% of the world’s gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation. The Company’s shares are listed in Russia on Moscow Exchange (MOEX) and the London Stock Exchange (LSE) under the ticker symbol “NVTK”.
Download press release
(PDF, 174 KB)