NOVATEK successfully converts four exploration licenses
Moscow, 25 May 2009. OAO NOVATEK today announced that it has received approval from the Federal Agency for Subsurface Use to convert four exploration licenses into new production licenses on fields located in the Yamal-Nenets Autonomous Region.
Throughout 2007 and 2008, NOVATEK financed the successful exploration activities on the Severo-Khancheyskiy, Novoyurkharovskiy, Yarudeyskiy and Raduzhny license areas, and as a result, the Company was able to demonstrate recoverable reserves under the Russian reserve classification categories “C1 + C2” of 80.2 billion cubic meters of natural gas and 7.5 million tons of gas condensate.
The four production licenses were issued in accordance with current Russian legislation on a non-competitive basis as a result of the work performed by the Company in compliance with the initial terms of the licenses.
In accordance with the new license agreements, the Company will continue to undertake further exploration activities as well as start the development activities on the discovered fields.
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. Upstream activities of the Company’s subsidiaries and joint ventures 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.