ONGC No Longer Interested in Yamal LNG Stake

Indian state-owned Oil and Natural Gas Corp (ONGC) is no longer keen to acquire a stake in Novatek's $20 billion Yamal LNG project, according to news agency Press Trust of India.

ONGC Videsh, the overseas arm of ONGC, Petronet LNG and Indian Oil Corp were last year negotiating with the Russian company for 9-10 percent stake in the project.

But the company is no longer interested after it carried out a risk assessment of the project, sources in know of the development told Press Trust.

OVL has not formally said no to Novatek but is not pursuing the opportunity, the sources said.

Yamal LNG project comprises of development of the South Tambeyskoye field with proven deposits of 1.3 trillion cubic meters of natural gas and the construction LNG plant for producing 16.5 million tonnes of LNG a year by 2018.

Novatek controls 60 per cent of the Yamal project.