Gazprom working on Ust-Luga LNG finacing

Russian gas giant Gazprom is working to attract investors to fund its large liquefied natural gas export project in the Baltic port of Ust-Luga.

Gazprom said in a statement that it was working to attract project financing from Russian and international credit institutions.

Gazprom and RusGazDobycha agreed to build the gas processing and liquefaction complex worth more than 700 billion rubles ($9.62 billion) in March last year.

The LNG plant will have 13 million tonnes per year capacity while the entire complex will be able to process 45 billion cubic meters per year.

In addition to LNG, its commercial products will include ethane fraction, liquefied petroleum gases, and pentane-hexane fraction.

The state-owned company plans this year to submit the design documentation for a state expert review and place orders for long-lead equipment for the project.

Gazprom also intends to select an EPC contractor for gas processing units and off-site facilities, as well as an EPCM contractor for project management, it said.

In the meantime, basic design solutions for the project, as well as the specifications for feedstock and commercial products, have been agreed upon.

The project operator has received the technical specifications for connecting the complex to Gazprom’s gas transmission system, and the drafting of the design documentation has begun.

According to Gazprom, engineering surveys have been completed at the construction site, which is currently being cleared and prepared for construction works.