NVTK.L Regulatory News (NVTK)

FOR IMMEDIATE RELEASE

Yamal LNG Realized LNG Commissioning in Record Time

Moscow, 9 August 2018. PAO NOVATEK ("NOVATEK" and/or the "Company") announced that Yamal LNG has launched the second LNG train and dispatched the first cargo from this unit. The second LNG train commissioned six months ahead of its original schedule, and combined with the first LNG train launch in December 2017, has achieved the commissioning of the first two LNG trains in record time.

The first gas input into the second LNG train occurred on the 21st July and is now operating at its rated nameplate capacity of 5.5 million tons per annum (mmpta). The total capacity of the two working LNG trains is 11 mmpta. 

"We have not only commissioned the first train at Yamal LNG on time and on budget, but we have significantly expedited the formal commissioning of the second train." noted NOVATEK's Chairman of Management Board Leonid Mikhelson. "Presently, the third LNG train start-up is also expected to be launched significantly ahead of original schedule - an unprecedented achievement for the LNG industry. The total operating capacity of the two working LNG trains already approximates about 3.5% of the global LNG market and becomes a significant project in the context of the global LNG landscape. Our strategic goal is to produce between 55 and 60 mmtpa by 2030".

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PAO NOVATEK is one of the largest independent natural gas producers in Russia. Founded in 1994, the Company is engaged in the exploration, production, processing and marketing of natural gas and liquid hydrocarbons. The Company's upstream activities are concentrated mainly in the prolific Yamal-Nenets Autonomous Region, which is the world's largest natural gas producing area and accounts for approximately 80% of Russia's natural gas production and approximately 15% of the world's gas production. NOVATEK is a public joint stock company established under the laws of the Russian Federation. The Company's shares are listed in Russia on Moscow Exchange (MOEX) and the London Stock Exchange (LSE) under the ticker symbol «NVTK».