The Gazprom Board of Directors took note of the information about the ongoing implementation of the liquefied natural gas (LNG) production and supply projects.

It was highlighted that the new coronavirus pandemic has had a negative impact on the long-term outlook for the global LNG industry, and the forecast for the commissioning of LNG production capacities worldwide has been revised downwards. Nevertheless, LNG demand is expected to continue to grow. Russia’s resource potential is sufficient to increase national LNG production. It is an important way for Gazprom to diversify its production activities.

Currently, the Company has a number of LNG production projects underway. Among them is the integrated complex for natural gas processing and liquefaction near the settlement of Ust-Luga, Leningrad Region. With an annual output of 13 million tons, the complex is slated to become the largest LNG production facility in northwestern Europe.

Velikiy Novgorod gas carrier

With the tightening of international environmental maritime laws, LNG is becoming an increasingly popular marine fuel. The LNG production, storage and shipment complex near the Portovaya CS in the Leningrad Region is geared to this market sector among others. The complex will produce 1.5 million tons of LNG per year. The Company is also exploring the options for implementing a mid-scale LNG project near Vladivostok in the Primorye Territory.

In cooperation with domestic machine-building enterprises, Gazprom is taking an active part in the projects for expanding the use of LNG in road, railway and river transport, such as shunting and mainline locomotives and a passenger motor ship for river cruising (built in Tatarstan in 2020). Special-purpose KAMAZ trucks powered by LNG will carry thermally-insulated containers with liquid helium from the Amur Gas Processing Plant to the ports based in the Primorye Territory.

KAMAZ-5490 Neo helium truck powered by liquefied natural gas

In addition, the development of the small-scale LNG segment is viewed as essential for extending gas infrastructure and supplying gas to Russian consumers that are based away from gas trunklines. For example, a small-scale LNG complex in the Perm Territory has been supplying gas to more than 2,000 households and 10 boiler houses since 2015. Between 2021 and 2025, two more investment projects involving natural gas liquefaction technologies will be delivered in the Tomsk and Sakhalin Regions.

Small-scale LNG plant in Perm Territory