Gazprom expects getting gas royalty from Sakhalin-2

Gazprom is waiting on the government's provision to get a gas royalty from Sakhalin-2,  vice-president of the company A. Ananenkov reported.

We are soon expecting the government to issue the provision on making Gazprom the authorized company to get gas that Russia owns.

Gazprom has 50% shares plus one in Sakhalin Energy (project’s operator), Shell has 27.5%, Mitsui – 12.5%, Mitsubishi – 10%. Currently royalty is done in monetary value.

Ananenkov emphasized that getting royalty by gas complies with production partition. According to the partition Russia is to get gas in the first place and oil in case of scarcity. According to him, Russia has 1.6 bln cubic m of gas in its disposal, though 1.2 bln cubic m of gas is to be transferred through Sakhalin-Habarovsk-Vladivostok to Vladivostok’s consumers.

He also added that Sakhalin-3 will be the resource base for this gas pipeline. Kirinskoe field for this project is to developed two years earlier – in the second quarter of 2012.  500 mln cubic m of gas are planned to be supplied from this deposit in 2012 already.

Currently 30 km  out of 1350 km of the pipeline is to be constructed and according to Ananenkov the gas supply to Vladivostok is to start in September .

In the framework of the Sakhalin-2 project, Piltun-Astohonskoe and Lunskoe deposits are developed, the recoverable supplies are estimated to be 150 mln tons of oil and 500 bln tons of gas. The shareholders are: Gazprom (50% plus one share), Royal Dutch Shell (27,5%), Mitsui (12,5%) and Mitsubishi (10%). Sakhalin Energy consortium is the operator of the project.

Source: http://www.oilcapital.ru/news/2011/06/211225_169102.shtml

Translated by: Anastasia Edrenkina