Total doubles down on Arctic LNG shipping
French oil giant Total SA signed a deal to take a 10% stake in a massive Russian gas project, doubling down on controversial efforts to ship supercooled natural gas from the country’s Arctic peninsula.
French oil giant Total SA signed a deal to take a 10% stake in a massive Russian gas project, doubling down on controversial efforts to ship supercooled natural gas from the country’s Arctic peninsula.
The move builds on Total’s position in the region, giving it a massive stake in a project that is expected to eventually produce 535,000 barrels of oil equivalent a day.
The company is already involved in the region’s flagship liquefied natural gas project Yamal, and owns a 19% stake in both projects’ majority owner, PAO Novatek.
Including its interest in Novatek, Thursday’s deal takes Total’a stake in the so-called Arctic LNG 2 project to more than 20%.
Total said a final investment decision on the project is likely to come in 2019, though it may face some challenges finding finances because of U.S. sanctions on Novatek.
Source: MarketWatch
