<article><p class="lead">Russian independent Novatek's 16.5mn t/yr Yamal LNG export facility boosted utilisation of the Northern Sea Route (NSR) last month, surpassing records reached in August and last September.</p><p>Yamal shipped 700,000t of LNG, judging by vessel size, via the NSR last month, up from 623,000t in August and 545,000t a year earlier.</p><p>The facility only made deliveries to northeast Asia last month via the NSR, with no Yamal-loaded vessels transshipping in Europe for delivery to Asia through the Suez Canal or around the Cape of Good Hope. In comparison, in both August and last September 2019, two cargoes were transshipped and later delivered to Asia. Around 43pc of Yamal's September production was shipped to Asia, down from 60pc in August and 45pc a year earlier, vessel tracking data show.</p><p>China received 466,000t of Yamal's September output — the most in one month since the facility began operations — up from 310,680t in August and 388,350t a year earlier. <a href="https://direct.argusmedia.com/newsandanalysis/article/2143828">Chinese gas imports have rebounded</a> in recent weeks, having previously weakened following new outbreaks of Covid-19 that <a href="https://direct.argusmedia.com/newsandanalysis/article/2131658">weighed on demand</a>.</p><p>The NSR has typically closed in early-mid October in recent years, but low ice levels and a full Arc7 fleet could allow for direct deliveries to Asia to continue for longer this winter. The NSR Administration's latest ice forecast for early October indicates that 70pc of the passage will be clear of drifting ice, while almost all recent average air and sea temperatures remain above 0°C. </p><h3>Exports rise in September</h3><p class="lead">Yamal's total loadings rose last month compared with a year earlier, despite works on the planned fourth 940,000 t/yr train cutting output.</p><p>Exports rose to 1.58mn t, from 1.54mn t in August and 1.52mn t in September 2019, but held below the facility's record of 1.78mn t, which it reach in March 2019, November 2019 and again in March-April this year. </p><p>Market participants had suggested in recent days that <a href="https://direct.argusmedia.com/newsandanalysis/article/2146758">issues related to construction of the fourth train could lead</a> to the loss of 4-5 LNG cargoes. But work on the train is not expected to create "any problems with meeting delivery commitments as the plant has operated above its nameplate capacity", the firm told <i>Argus.</i></p><p>Yamal output has held above nameplate capacity since December 2018. The firm did not say when it expects the works to finish.</p><p><i>By Ellie Holbrook</i></p></article>
