French Banks Eye Yamal LNG Project
French banks may participate in lending for the Russia's Yamal liquefied natural gas (LNG) project, a relevant agreement may be signed in 2016, Tass reported quoting Russia's Economic Development Minister Alexei Ulyukayev.
"As for French banks - we have made very serious progress there, we are very optimistic about it. I do hope [that the agreement on lending will be signed this year]," the minister said.
Earlier this year, Russia’s largest independent gas producer Novatek confirmed the volume of capital expenditures for Yamal LNG project in the amount of $27 bln.
Yamal LNG is trying to raise more than $10 billion in external financing, mainly from China, for the project, which is only Russia's second LNG plant.
Russia's Sberbank and Gazprombank have signed a loan agreement with Yamal LNG worth 3.6 billion euros (2.8 billion pounds), Interfax news agency reported.
Yamal LNG is a large scale project on creating a liquefied natural gas production facility. Yamal LNG unlocks access to the vast gas resources of the Russian Arctic, while also opening a new LNG sea transport route to Asia using ice-class LNG carriers.
Russia's Novatek holds 50.1 percent in the project, which aims to start producing LNG next year. Total and China's CNPC control 20 percent each, while China's Silk Road Fund bought a 9.9 percent stake last month.