16th Aug 2010 14:00
FOR IMMEDIATE RELEASE
NOVATEK LAUNCHES UNSTABLE GAS CONDENSATE DE-ETHANIZATION UNIT AND PIPELINE
Moscow, 16 August 2010. OAO NOVATEK ("NOVATEK" and/or the "Company") today announced the completion and launch of an unstable gas condensate de-ethanization unit at its Yurkharovskoye field as well as the 326 kilometer unstable gas condensate pipeline connecting the field with the Company's wholly-owned Purovsky Gas Condensate Processing Plant ("Purovsky Plant").
The construction of the unstable gas condensate de-ethanization unit and pipeline, completed within schedule and budget, will allow NOVATEK to de-ethanize and transport up to three million tons of unstable gas condensate per annum from the Yurkharovskoye field, and enable the Company to increase annual gas condensate production.
The Company was able to optimize the capital expenditures required to complete the pipeline by incorporating solar and wind power generation units to provide the necessary electricity to operate the pipeline's tele-mechanic system and valves, instead of using a fixed electrical line.
"The successful launch of our new facilities provides sufficient capacity to meet the Company's current and future de-ethanization and transportation needs, as well as increasing the economic and operational efficiencies of unstable gas condensate production at the Yurkharovskoye field by eliminating the risks and costs associated with using third parties for these services" according to Alexander M. Fridman, Deputy Chairman of NOVATEK's Management Board.
The Yurkharovksoye field is the largest of the Company's exploration and production assets in terms of reserves and production and is the main driver for NOVATEK's mid-term production growth. The new de-ethanization unit and pipeline will allow the Company to fully control the production and transportation of unstable gas condensate from its field to the Purovsky Plant, and is considered an integral part of NOVATEK's gas condensate value chain.
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For further information, please visit www.novatek.ru or contact:
| Press Service | Investor Relations | ||
| +7 (495) 721 2207 | +7 (495) 730 6013 | ||
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OAO NOVATEK is Russia's largest independent gas producer and the second-largest natural gas producer in Russia. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company's upstream activities are concentrated in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 90% of Russia's natural gas production and 20% of the world's gas production. NOVATEK is an open joint stock company established under the laws of the Russian Federation. The Company's shares are listed on the Russian Trading System (RTS), MICEX Stock Exchange and the London Stock Exchange (LSE) under the ticker symbol 'NVTK' and on the NASDAQ PORTAL System as Rule 144A GDR under the ticker symbol "NVATY".
Copyright Business Wire 2010
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