Fault at Russia's Sakhalin-2 LNG Plant Cuts Output

Reuters

MOSCOW, Feb 1 (Reuters) – Sakhalin-2, Russia's sole liquefied natural gas (LNG) production plant, has cut production of LNG due to a technical glitch, a spokeswoman for the company told Reuters on Monday.

She said production had been curtailed in order to "optimise the work of the Lunskaya production platform". She declined to comment on the scale of the production cut.

A trader with knowledge of the matter said Sakhalin-2 has declared force majeure on exports and that a few spot LNG cargo loadings may be deferred to a later date.

The status of an LNG tender issued by the project prior to the technical breakdown was also in doubt, the trader said.

(Reporting by Vladimir Soldatkin; additional reporting by Oleg Vukmanovic in Milan and Sarah McFarlane in London; editing by Dmitry Solovyov and Alexander Smith)

Copyright 2016 Thomson Reuters. Click for Restrictions.

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