CB&I nets Russia LNG contract
20 May 2010
The Hague, The Netherlands – CB&I Lummus has gained a contract for concept development services for the Yamal LNG Integrated Project by Yamal LNG LLC. This contract is scheduled for completion in the first half of 2011.
The project operator is Yamal LNG LLC controlled by OJSC NOVATEK, Russia’s largest independent natural gas producer and the second-largest natural gas producer in Russia.
The LNG project consists of the production, treatment, transportation, liquefaction and shipping of natural gas and natural gas liquids from the South Tambey field on the Yamal Peninsula in northwest Siberia. The natural gas reserves in the South Tambey field are estimated at more than one trillion cubic meters.
CB&I’s project scope includes concept development of the 15-16 million tonne per annum LNG liquefaction plant, including LNG storage and loading facilities, as well as arctic shipping and ice management solutions, a gas transmission pipeline, a central production facility for gas and condensate treatment, and the associated well sites and gas gathering system.
The concept development will address the technical, economic and execution feasibility of this remote arctic project and will provide a project schedule and cost estimates, in addition to the basis of design for the FEED phase, said CB&I.
Due to the remoteness and extreme conditions in the Yamal Peninsula, including permafrost, ice-loading, and environmental sensitivity, the Yamal LNG project is considered one of the world’s most challenging energy projects, requiring a combination of proven technology and a unique execution model.
