Gazprom plans Arctic condensate, LPG export terminal

The project is due to open in 2027 and will handle NGLs from Gazprom's joint-venture Tambei gas development

Russia's state-controlled Gazprom plans to build a new Arctic condensate and LPG export terminal on the northeast of the Yamal peninsula.

The project will handle natural gas liquids (NGLs) from the 1.1 trillion m³ Tambei gas project under Gazprom's GDT joint venture with private-sector RusGasDobycha. The partners are aiming for start-up in December 2027 or early 2028, with capacity to load 6.8mn t/yr of condensate and 2.5mn t/yr of LPG. The designs include a potential to raise the combined capacity to more than 10mn t/yr, without a breakdown for each product. And plans for a possible 36mn t/yr LNG plant and export facilities are included.

The terminal will have two dedicated tanker berths for LPG and condensate and 320,000m³ of storage capacity — 100,000m³ (58,200t) for propane, 100,000m³ for butane and 120,000m³ for condensate. The NGLs would be delivered to the terminal along 19km of pipelines.

GDT is considering whether to lease the required condensate and LPG tankers or to build new fleets by December 2027, with the vessels loading at the terminal required to be ice-class. The global fleet of LPG carriers no longer has Russian-flagged vessels, according to the International Maritime Organisation. The country's largest LPG producer and exporter, Sibur, books vessels under long-term time charters or on the spot market, according to shipowners' reports.

The EU and some other European countries have banned port access for Russia-flagged ships, but sanctions do not yet cover condensate or LPG exports. GDT had planned to launch Tambei production in 2026, with up to 55bn m³/yr of ethane-rich gas delivered through a dedicated pipeline to Ust-Luga on the Baltic coast in west Russia. But commissioning timelines look increasingly unrealistic because of US and EU sanctions imposed on Russia since March 2022. Most international engineering firms have withdrawn from the country and work has stalled on the original destination for Tambei gas — a planned 45bn m³/yr gas processing plant at Ust-Luga.