Russia’s largest independent natural gas producer, PAO NOVATEK (NOVATEK), will work with RWE Supply & Trading (RWE) in an agreement that will see NOVATEK supply low-carbon ammonia and hydrogen.

The gases will be produced at the company’s planned Obskiy Gas Chemical Complex before being supplied to Germany and European markets, as dictated by a Memorandum of Understanding (MoU) signed by the companies. 

The agreement will also explore the partners’ expansion of liquefied natural gas (LNG) spot supplies, in addition to the potential for long-term supply of LNG by NOVATEK produced by the Arctic LNG 2 project. 

Lev Feodosyev, First Deputy Chairman of the Management Board, NOVATEK, said that the company is working on decreasing the carbon footprint of its LNG production. 

“Now we are undertaking the pre-FEED study for the blue ammonia and hydrogen plant with CCS (carbon capture and storage) facilities nearby our LNG cluster in Yamal for the delivery to final customers of low-carbon products in Europe and Asia,” he added.