Novatek to Double Gas Production by 2020

Russia largest independent gas producer. OAO Novatek will double its gas output by 2020.

Deputy CEO Mark Gyetvay said that the company plans to expand its operations into the European market, as well as into the Asia-Pacific market. He also confirmed that the company will aim to produce around 65 billion cubic metres of gas a year by 2015.

Novatek, the second largest gas producer in Russia after Gazprom, has been increasing its stake in a number of interests in recent months. 

Novatek and Total SA recently signed a definitive agreement to jointly develop gas reserves on the Yamal peninsula in west Siberia.

The project is to be carried out at South Tambei gas and gas condensate field located in the north of Siberia, home to around 40 trillion cubic metres of gas.

Total will also take a 20 per cent stake in Yamal LNG, which will target exports to Europe and Asia.

The agreement is the result of a strategic alliance created earlier in 2011 that saw Total invest $4 billion to acquire a 12 per cent stake in Novatek.