Press Releases and Events
NOVATEK acquires Severneft-Urengoy
Moscow, 23 November 2017. PAO NOVATEK (“NOVATEK” and/or the “Company”) announced today the acquisition of Severneft-Urengoy from EuroChem, a leading global fertilizer company.
Severneft-Urengoy holds the hydrocarbon exploration and production license for the West-Yaroyakhinskiy license area located in the Purovsky district of the Yamal-Nenets Autonomous Region in close proximity to our existing infrastructure.
The license contains estimated hydrocarbon resources of 918 mmboe according to the Russian resource classification as of 31 December 2016, and produced 816 million cubic meters of natural gas and 93 thousand tons of gas condensate during 2016.
According to NOVATEK’s Chairman of the Management Board, Leonid Mikhelson, “The acquisition of the West-Yaroyakhinskiy license area increases our resource base in close proximity to our producing assets and makes an immediate contribution to our total gas and liquids production. Gas condensate accounts for a significant portion of the area's reserves, and we expect additional synergies from processing this additional production at our Purovsky plant and our Ust-Luga Complex”.
PAO NOVATEK is one of the largest independent natural gas producers in Russia, and in 2017, entered the global LNG market by successfully launching the Yamal LNG project. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. Upstream activities of the Company’s subsidiaries and joint ventures are concentrated mainly in the prolific Yamal-Nenets Autonomous Area, which is the world’s largest natural gas producing area and accounts for approximately 80% of Russia’s natural gas production and approximately 15% of the world’s gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation.