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NOVATEK launches second methanol production unit

Novy Urengoi, 06 April 2010. OAO NOVATEK (“NOVATEK” and/or the “Company”) announced the launch of its second methanol production unit, with throughput capacity of 40,000 tons per annum, at the Yurkharovskoye field. The first methanol production unit, with throughput capacity of 12,500 tons per annum, was commissioned at the field in September 2007.

The methanol production units are unique facilities that are fully integrated into the field’s Complex Gas Preparation Plant, which allowed the Company to significantly reduce capital expenditures. The units were designed and manufactured based on the experience and technical solutions of NOVATEK’s specialists and are the only low-tonnage methanol production units operating at gas condensate fields in the world.

Methanol is used to prevent condensation in wells and gas gathering systems in areas with severe climatic temperatures, typical of the Yurkharovskoye field due to its location beyond the Polar Circle. With the launch of the second methanol production unit NOVATEK has sufficient capacity to meet current and future methanol requirements at the Yurkharovskoye gas condensate field as well as its other fields.

The use of innovative technologies, combined with the latest engineering and technical solutions, allowed the Company to design the new methanol production unit to operate with minimal natural gas and water consumption thus minimizing its impact on the environment. Moreover, the on-site methanol production units eliminate the need to transport methanol through Russia’s northern rivers, thus reducing environmental risks and production costs as well as ensuring operational stability.

The Company has formed a team of trained, certified and experienced specialists who have operational experience from working at the Yurkharovskoye field’s first methanol production unit.


PAO NOVATEK is one of the largest independent natural gas producers 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 Area, 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.