Novatek postponed the commissioning of hydrocracking at the complex in Ust-Luga at the end of 21st-beginning of 22g

Novatek postponed the commissioning of hydrocracking at the complex in Ust-Luga at the end of 21st-beginning of 22g

MOSCOW (Reuters) - Novatek (MCX: NVTK) has postponed the commissioning of a hydrocracking unit at its condensate fractionation complex in the Baltic port of Ust-Luga to late 2021 - early 2022, VTB (MCX: VTBR) Capital said in a report following the meeting with the top management of the gas production company.

The company announced plans to build a new fuel oil processing plant at its complex in August 2017, hoping to complete construction by 2019.

In October 2018, CFO Mark Jetway said that the main work on the construction of the plant will be completed in 2019 and will be completed by mid-2020..

In January of this year, Novatek announced that it would launch a hydrocracking unit in Ust-Luga in the fourth quarter of this year..

In August, Glavgosexpertiza of Russia approved the project for the construction of a hydrocracking unit, without specifying the timing of its implementation.

Novatek's complex for fractionation and transshipment of condensate in Ust-Luga with a capacity of 6 million tons per year allows to process stable gas condensate into light and heavy naphtha, kerosene, diesel fraction and fuel oil.

With the commissioning of a new unit with a capacity of about 1 million tons per year, Novatek plans to increase the production of kerosene, light and heavy naphtha, as well as gas oil by reducing the production of marine fuel.

(Natalia Chumakova, editor Ludmila Zaramenskikh)