Novatek Pushes For Domestic LNG Shipments Under Non-Russian Flags On Northern Route - CEO

SABETTA (Russia) (UrduPoint news / Sputnik - 21st August, 2018) Russian gas producer Novatek applied to the country's Transport Ministry with a request to allow the company to transport liquefied natural gas (LNG) via the Northern Sea Route by ships under flags other than Russia for domestic shipments, the company's co-owner and CEO Leonid Mikhelson told journalists on Monday.

"The current legislation does not allow to use the existing ice-class tanker fleet in domestic shipping [via the Northern Sea Route]. According to the law, there is a right, the government has the opportunity to allow it [transportation not only under the Russian flag]. This issue was discussed at the meeting on shipping in Kamchatka, which was led by [Russian Prime Minister] Dmitry Anatolyevich [Medvedev], and today we have raised this issue before [Deputy Prime Minister] Maxim Alexeevich [Akimov].

We filed the official request [to the Transport Ministry]. I believe, the decision will be taken soon," Mikhelson said.

Earlier, speaking at a meeting on the development of the Northern Sea Route, Novatek CEO noted that the amendments to Russian Merchant Shipping Code did not allow the use of 15 Yamal LNG gas carriers for domestic shipments between Sabetta terminal and transshipment points in Murmansk and Kamchatka without the Russian government's permission.