The State Duma has adopted a law expanding the list of LNG exporting companies

15.04.2020

The State Duma has adopted a law expanding the list of LNG exporting companies

Amendments to the Law on gas export, which expands the list of companies that receive the right to export liquefied natural gas (LNG) have been adopted in the second and third readings by the State Duma. The document was initiated by the Russian government.

Today a number of Novatek's projects, Rosneft and Gazprom have the right to export LNG.

According to the document, the law has been amended in order to meet the objective of increasing the production of LNG in the Arctic by granting the right to export LNG from areas for which the licenses were obtained after January 1, 2013.

Gazprom is a monopolist in the Russian market in the area of gas export via pipelines. Independent gas producers, including Rosneft and Novatek, have been discussing the access to the export markets for several years now. The first step towards liberalization was the permission to export LNG without Gazprom's mediation. The right to export LNG was granted to companies, whose subsoil licenses for January 1, 2013 provides for the construction of a liquefied natural gas plant or the transfer of the produced gas for liquefaction to such a plant. At the end of 2013, Novatek, which is implementing the Yamal LNG project, and Rosneft were granted this right.

Source: tass.ru



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