Novatek brings CNPC into Yamal LNG, signs long-term supply deal for China
ST. PETERSBURG. June 21 (Interfax) - Novatek and China National Petroleum Corporation (CNPC) signed an agreement on cooperation in the framework of the Yamal LNG project during the economic forum in St Petersburg on June 21, an Interfax correspondent reported from the scene.
The agreement calls for CNPC to buy a 20% stake in the Yamal LNG project and for Novatek to sign a long-term liquefied gas supply deal with China.
Earlier, Novatek chief Leonid Mikhelson said the company might settle on new parameters for the Yamal LNG project in the second quarter, but that it would retain control.
Novatek now has 80% in the project and France's Total the other 20%. Mikhelson has said he thinks it would be best to increase the number of Yamal LNG stockholders to four.
One of Novatek's leading shareholders, Gennady Timchenko, said in an interview with the Rossiya 24 television network that CNPC intends to finance a significant part of Yamal LNG.
Novatek's shares soared 3.3% on the Moscow Exchange to 336.85 rubles a share, their highest since February 11, immediately following this news.
