• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 23 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 3 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 7 days America should go after China but it should be done in a wise way.
  • 1 day Even Shell Agrees with Climate Change!
  • 3 days How Far Have We Really Gotten With Alternative Energy
  • 4 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 2 hours Microbes can provide sustainable hydrocarbons for the petrochemical industry
  • 3 days World could get rid of Putin and Russia but nobody is bold enough
  • 6 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in

Saudi Arabia To Consider Investing In Russia’s Arctic LNG Project

Saudi Arabia will consider investing in Russia’s Arctic LNG project, especially if it could be used to deliver LNG to the Middle Eastern country, Saudi Energy Minister Khalid al-Falih told Russian news agency TASS in an interview on Friday.

At this stage, of course, it is too early to talk about specific projects. LNG business is challenging, there is a lot of supply. However, we don’t think in terms of years, we think in terms of decades,” al-Falih told TASS.

Saudi Arabia should look into long-term projections, and if it finds the projects justified, it will consider investing in them, especially if part of the LNG output can be supplied to Saudi Arabia, the minister said.

Saudi Arabia is a huge market for gas, so we’re looking at existing projects like Yamal LNG, but we’re also looking at future projects with Russian companies that we can do elsewhere - Africa, Mediterranean,” TASS quoted al-Falih as saying.

Earlier this year, Russia’s President Vladimir Putin said that the country not only can—but will—become the world’s biggest LNG producer.

Russia is currently building LNG plant and export capacities in the Arctic—with the help of Asian partners, among others—that will compete in the future with supplies to Asia, the world’s top LNG importing region, from the leading exporting counties Qatar and Australia.

Currently, Russia has just one operating LNG export facility, Sakhalin, whose majority shareholder is Russian gas giant Gazprom. But soon the Yamal LNG project in the Arctic will become operational. The project plans to begin selling LNG on the sport market this year, and start deliveries under long-term contracts next year, Leonid Mikhelson, the chief executive of Yamal LNG’s majority shareholder Novatek has said.

According to a Wood Mackenzie report from April, this year will be a decisive year for Russian LNG, when the first ever multi-train Arctic LNG project – Yamal LNG – is commissioned. The Arctic LNG-2 project in northern West Siberia will be the second large-scale LNG project led by Novatek, after Yamal LNG.

Despite its huge conventional gas reserves, Russia’s share in the global LNG market is small, at around 4 percent, WoodMac says.

ADVERTISEMENT

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • Naomi on June 03 2017 said:
    Saudi Arabia is a maladapted culture. Saudis do not invest in Saudi Arabia because Saudis do not like to work. Saudi owned companies are staffed by nepotism rather than competence. Saudi donates adequately so that Saudi foreign students receive their degrees regardless of merit. The Saudi Arabia population is growing explosively and has long past the carrying capacity of its oil reserves. Saudi military is ineffective because individuals do not share technical competence and planning with superiors, coworkers, nor subordinance.
  • GregS on June 02 2017 said:
    Why the heck doesn't Saudi invest in their own gas? I have no sympathy for these idiots

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News