Background
Huge amounts of natural gas resourses were found out to be widly distibuted in Russia’s mainland and offshore, especially in Arctic areas. To expand the utilisation of the gas, liquefaction is the way more flexible than pipline to expand the markets. Under the success of Yamal LNG project,which is the first large scale LNG plant in Russia, Novatek decided to launch the other LNG project.

Brief Introduction
Arctic LNG 2 is the second LNG export plant in Russia, located offshore near the remote Gydan Peninsula in northern West Siberia. It is the second large-scale LNG project led by NOVATEK, after Yamal LNG. The onshore Salmanovsky (also known as Utrenneye) field is deasinged to feed gas for the project, which was estimated to have 405 billion cubic meters of natural gas and 40 million tons of gas condensate.
The cost of Arctic LNG 2 project is expected to be 25.5 billion dollars, envisaging the construction of three LNG trains at 6.6 million tons per annum each. The trains were designed to use gravity-based structure(GBS) offshore platforms in the OB Bay. Similar to Yamal LNG,Arctic LNG 2 production will be deliverd to international markets by a fleet of ice-class LNG carriers that will be able to use the Northern Sea Route for cargoes destined for Aisa and Europe.
Novtek is planning to make a final investment decision for the project in 2019, with plans to start up the first train by end 2023. The interests of the project is planned to be shared by multiple companies, which Novetek holds 60% and other companies hold the 40% left.

Company behavior
JOGMEC: In September 2018. Novatek has signed a framework agreement with JOGMEC to co-operate on developing a regular transport link via the Northern Sea Route for LNG deliveries to the Japanese and Asia-Pacific markets.
Total: In May 2018,Total acquired a direct working interest of 10% from Novatek
Zvezda shipyard: In October 2017, Zvezda shipyard signed agreement with Novatek to manufactured 15 Arctic-class LNG carriers.
Nuovo Pignone: In December 2018, Novatek contracted the Italian company Nuovo Pignone for the supply of gas turbine generators for the three liquefaction trains for the project.
SAREN: In December 2018, Novatek signed the contract with SAREN, which is a joint venture between Saipem and Renaissance, for the design and construction of three gravity-based structures for Arctic LNG 2.

The first stage of its construction would be finished in 2022-2023, with the plant reaching full capacity in 2025. Novatek has reached out to investors in Japan and Saudi Arabia.

Operators:

Novatek: 90% interest

Total: 10% interest 

Contractors:

Siemens: supply contract for gas compressor equipment (February 2019)