NOVATEK announces that the Company's subsidiary NOVATEK-Yurkharovneftegas has started pilot production from gas condensate deposits at the Yevo-Yakhinskiy Cluster including the Yevo-Yakhinskoye and Ust-Yamsoveyskoye fields, as well as part of the Urengoyskoye field (within the boundaries of the Olimpiyskiy license area). The annual production level at the Yevo-Yakhinskiy Cluster is 4 bcm of natural gas and 1.3 mmt of gas condensate.

“Maintaining pipeline gas production levels within the reach of the Unified Gas Supply System for the domestic market supplies, as well as gas condensate production to secure the load of our processing capacities remains one of the main priorities of the Company,” noted Leonid Mikhelson, NOVATEK’s Chairman of the Management Board. “The Yevo-Yakhinskiy Cluster fields will contribute significantly to our gas and gas condensate production.”

NOVATEK operations are located mainly in the Yamal-Nenets Autonomous Region (“YNAO”) of the Russian Federation. The Group delivers its natural gas on the Russian Federation’s domestic market and liquid hydrocarbons on both the Russian domestic and international markets.

The Group processes unstable gas condensate at its Purovsky Gas Condensate Processing Plant located in close proximity to its fields into stable gas condensate and liquefied petroleum gas. The majority of stable gas condensate is further processed at the Group’s Gas Condensate Fractionation and Transshipment Complex located at the port of Ust-Luga on the Baltic Sea into higher-value refined products (naphtha, jet fuel, gasoil and fuel oil). The remaining stable gas condensate volumes are sold on domestic and international markets.

KeyFacts Energy: NOVATEK Russia country profile