Russia's Novatek has announced new supply deals with Vitol and Repsol for its LNG projects.
It said the Spanish energy company had agreed a 15-year deal to take 1m tonnes per year from the new Arctic LNG 2 development, as well as other Novatek sources.
The LNG will be delivered ex-ship primarily to markets on the Iberian peninsula.
Trader Vitol has signed an identical deal in terms of amount and time.
This gas will be exported on a free-on-board basis to Novatek's transhipment terminals in the Murmansk region and Kamchatka.
“We commenced contracting LNG volumes from our new project Arctic LNG 2,” said Novatek first deputy chairman Lev Feodosyev.
“LNG volumes sold at our transshipment terminals ensures the flexibility of LNG supplies around the world and allows us to create LNG hubs in the Asia-Pacific and Atlantic basins.”
He added that the Repsol deal would allow the company to increase its market presence on the Iberian peninsula where Russian pipeline gas is not supplied.
“Expanding our supply geography and diversifying our long-term contract customer base is consistent with the company's strategy to ramp up LNG production in the Russian Arctic,” he said.
Novatek is reported to have reserved slots at the domestic Zvezda shipyard for up to 15 LNG carriers for Arctic LNG 2 exports.
