01 Dec 2020 | 09:44 UTC — London

Russia's Novatek completes trial delivery to China of LNG in ISO containers

Highlights

First shipment to China's Tiger Gas under spot contract

LNG shipped in ISO containers to increase 'exponentially'

To enable entry into downstream markets in China, Japan

London — Russia's Novatek has completed its first trial delivery of LNG shipped in ISO containers to Shanghai, China, it said Dec. 1, as it eyes the use of ISO containers for entry into Asian downstream LNG markets.

Novatek -- operator of the 16.5 million mt/year Yamal LNG facility in northern Russia -- made the delivery together with Japan's Saibu Gas for delivery to China's Tiger Gas under a spot contract.

"Together with our partners, we have successfully completed our first trial delivery of LNG in ISO containers to China," Novatek deputy chairman Lev Feodosyev said in a statement.

"It is forecasted that ISO containers of LNG will exponentially increase over the upcoming decades, allowing us to diversify our customer base by including small-scale LNG consumers and entering the downstream markets in China and Japan," Feodosyev said.

ISO -- or intermodal -- containers are standardized according to International Organization for Standardization (ISO) rules and are suitable for transportation by ship, rail and truck.

Novatek said the LNG was delivered by sea in Tiger Gas-owned ISO containers from the Japanese Hibiki container terminal to Shanghai.


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