Gazprom has begun construction on the Complex for processing ethane-containing gas (CPECG) near the settlement of Ust-Luga in the Leningrad Region, according to Gazprom’s press release.

The CPECG is the world’s first cluster of its sort, combining capacities for natural gas processing, gas chemistry, and natural gas liquefaction. It will be composed of two major enterprises. The first one is the integrated complex for natural gas processing and liquefaction the Gas Processing Complex (GPC), and the second one is natural gas chemical complex (GCC) of CPECG technically affiliated with the GPC.

The complex will be the largest gas processing enterprise in Russia and one of the most powerful in the world in processing 45 billion cubic meters (bcm) of natural gas per year, as well as the leader in the production of liquefied natural gas (LNG) in northwestern Europe with 13 million tons (mt) of LNG per year.

Alexey Miller, Chairman of the Gazprom Management Committee, stated: “Here in the northwestern part of Russia, in the Leningrad Region, we have launched the construction of a fundamentally new and high-tech industrial cluster. It is essential for the region and the country at large. Advanced processing is the most efficient way to maximize the potential of the immense reserves of ethane-containing gas in Russia.”

For his part, Konstantin Makhov, Chief Executive Officer of RusGazDobycha, said: “The creation of the gas chemical complex as part of the CPECG is a unique project for Russia, enabling us to manufacture high-margin products and double the exports of domestic polymers.”