Russian energy major Novatek plans to develop a new complex in the Kolsky district of the Murmansk region to process and export stable gas condensate, according to company documents.
The move signals Novatek’s continued commitment to advancing liquefied natural gas (LNG) projects, including Arctic LNG-2, despite ongoing U.S. sanctions related to the conflict in Ukraine. Arctic LNG-2, currently under sanctions, has faced restrictions on seaborne LNG sales but is projected to yield up to 1.6 million tonnes per year of stable gas condensate—a valuable feedstock used in the production of fuels such as gasoline and jet fuel.
Novatek’s proposed Murmansk facility will have the capacity to process up to 3 million tonnes (approximately 67,000 barrels per day) of gas condensate annually. The project includes the construction of a dedicated terminal at the Port of Murmansk for the shipment of processed products. Construction is expected to begin in June 2025, with completion targeted by the end of May 2028.
In addition to the main processing plant, Novatek also intends to develop storage infrastructure for naphtha, kerosene, and marine fuel at the site, enhancing its ability to meet global fuel demand from a strategically located Arctic hub.
The company already operates a similar gas condensate processing complex at the Baltic Sea port of Ust-Luga, where it produces light and heavy naphtha, jet fuel, marine fuel, and gasoil.