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07 April 2017

Breaking the ice: Yamal LNG on track for 2017 start-up

Natural gas liquefaction projects often face a plethora of challenges, be they technical, commercial or political. What makes Yamal LNG unusual is that all aspects of the project are daunting: its inhospitable, remote location and unstable permafrost terrain, lack of existing infrastructure, a sensitive and politically controversial Arctic environment, the need for LNG carriers to break through thick ice for most of the year, and geopolitical factors that include sanctions imposed on Russia by the US and the European Union. Yet the project remains on track to produce first LNG later this year, in line with the schedule and budget set when final investment decision was taken in 2013, while 96% of its output is sold under long-term contracts. LNG Business Review takes a close look at the progress made by this significant venture deep in the Arctic region.

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