The Prime Minister’s instructions: in the Barents sea will build four artificial Islands

© RIA Novosti / Igor Podgornyi the Barents sea. Archival photoThe Prime Minister’s instructions: in the Barents sea will build four artificial Islands© RIA Novosti / Igor Podgorny

In the Barents sea, will be four artificial Islands — Prime Minister Dmitry Medvedev signed a decree on the establishment of land plots in the Kola Bay to the Centre of the construction of large marine structures. It’s part of a large-scale project on development of gas deposits of Yamal, which develops the company «NOVATEK».

The construction contract will be signed between Rosmorrechflot and JSC «Kola Verf» (subsidiary of «NOVATEK»).

The center is intended for the manufacture of the marine production, storage and shipment of liquefied natural gas and also for repair and maintenance of marine machinery and equipment used for offshore oil and gas deposits.

Created island will be at the expense of own resources «of the Kola shipyards», the volume of capital investments will exceed 25 billion rubles. Permission of Rosmorrechflot, the company has already received.

«The construction of the center will create about 10 thousand jobs only in the shipyard, to increase tax revenues in budgets of all levels, to attract in the region of the additional investment, develop new high-tech industries», — the document says.
A strategic investment project

Center construction of large marine structures will be established in the village Belokamenka in the Murmansk region by the end of 2020. The first dry dock needs to be commissioned in the first half of 2019.

In early June at the St. Petersburg international economic forum, NOVATEK signed a Memorandum of understanding for the conclusion of a special investment contract with the Ministry of industry and trade and the government of the Murmansk region, underlining the intention of the parties on the conclusion of tripartite special investment contract on creation of the Kola yard.

«For the effective development of the huge resource base of the far North, reducing construction costs and improving the competitiveness of our future LNG projects, we believe it is important to establish a Center of construction of large offshore structures in Russia. Via Kola the shipyard we are planning to achieve maximum localization of the LNG plant on the basis of platforms of gravity type and their readiness for production», — said Chairman of the Board «NOVATEK» Leonid Mikhelson.

The Governor of the Murmansk region Marina Kovtun, in turn, noted the enormity of the planned volume of investments — more than 50 billion rubles for the first place. Therefore, the project has the status of strategic investment project of the Murmansk region, she explained.

According to Kovtun, the decision on the construction of the center was made because in the field in parallel, a project integrated development of Murmansk transport hub, which will provide the Western shore of the Kola Bay railway.

Gas from Yamal

Yamal is the richest place in gas reserves. According to the Governor of Yamalo-Nenets Autonomous district Dmitry Kobylkin, based on Peninsula Yamal it is possible to produce more than 70 million tons of LNG. NOVATEK leads the region’s active work.

So, the modules that will be produced on the Kola shipyards, designed to the new centre for LNG, which NOVATEK is planning to build on the Peninsula Gydan.

Its resource base will be the Morning and gas-condensate field with reserves of over 1.2 trillion cubic meters. The concept of the project assumes construction of a complex on platforms in the Gulf of Ob near the coastline of the Peninsula.

The LNG plant will be the second on the Yamal Peninsula. First, NOVATEK is already building in the framework of the project «Yamal LNG», which is implemented on the resource base of South Tambeyskoye field. Total plant capacity is 16.5 million tons a year. It is planned to build three lines, the first of them should be put into operation this year, and at full capacity the enterprise will be released in 2019.

Sea port of Sabetta will provide year-round navigation along the Northern sea route. To transport LNG are being built newest tankers, the first of them has recently received the name in honor of a French entrepreneur, head of the oil company Total Christophe de Margerie, who was killed in 2014 in the crash at the airport «Vnukovo» and the whole should be built 15 such courts.

As was stated by the Minister of energy of Russia Alexander Novak, the launch of Yamal LNG at full capacity will increase the volume of gas exports by more than 10 percent and increase the share of Russia in the global LNG market to 8-9 percent.