LNG production at Sakhalin-2 up 10% in 2022 compared with 2021 to 11.5 mln tons

MOSCOW, January 26. /TASS/. The production of liquified natural gas at the Sakhalin-2 project amounted to 11.5 mln tons in 2022, which is more than 10% higher than in 2021, the operator of the Sakhalin Energy project reported on Thursday, adding that Japan, China, South Korea and Indonesia were the major LNG markets.

"In 2022, the company exceeded the targets, producing about 11.5 million tons of LNG and 3.7 million tons of Sakhalin Blend oil. All products were delivered to the buyers on time in full compliance with the SPA terms. The major LNG markets were Japan, China, South Korea and Indonesia, while oil was mainly sold to China, South Korea and Japan," the report said.

In 2021, around 10.4 mln tons of LNG were produced at the project.

This year the company continues hydrocarbon production and shipping operations in normal mode in line with the schedule, with first cargoes having been successfully delivered to buyers in Asia Pacific.

"Amidst unprecedented pressure on its business and operations caused by external factors, Sakhalin Energy was able to ensure stable and safe business processes, while exceeding the targets," Sakhalin Energy's Managing Director Andrey Oleinikov was quoted as saying.

Sakhalin Energy LLC is the operator of the PSA (production sharing agreement) project Sakhalin-2 that is developing the Piltun-Astokhskoye oil field and the Lunskoye gas field off the north-eastern coast of Sakhalin. Its activities include production, transportation, processing, and marketing of oil and natural gas. Gazprom, Mitsubishi and Mitsui participate in the project. --0--tre