Novatek entered into a strategic cooperation agreement with the United Shipbuilding Corporation (USC), the company announced on March 29, 2017. In line with the memorandum the two companies signed, they will work together to make modules for LNG trains within the framework of the Arctic LNG 2 project.

USC is the largest shipbuilding company in Russia that integrates nearly all of the country’s shipbuilding facilities. The USC holding includes 40 design and engineering centers, designated research and development centers, shipyards, ship repair facilities, as well as machine-building enterprises.

Second only to Gazprom in Russia, Novatek is a large natural gas producer. Novatek’s gas output decreased by 2.7 percent to 66.1 billion cubic meters (bcm) (2.334 trillion cubic feet) in 2016. Liquid hydrocarbons production went up by 36.8 percent to 12.441 million tons.

The IFRS (International Financial Reporting Standards) net profit of Novatek for 2016 increased more than three times to RUB257.8 billion (USD4.6 billion), against RUB74.4 billion (USD1.321 billion) seen in 2015. Sales revenue increased by 13.1 percent year-on-year to RUB537.5 billion (USD9.549 billion). The company’s normalized EBITDA (including the company’s share in the EBITDA of its joint ventures) stood at RUB242.4 billion (USD4.3 billion), having increased by 13.2 percent year-on-year.