The ambitious project to develop the Arctic gas field, with estimated gas reserves of 3.7 trillion cubic meters, is intended to supply the Nord Stream pipeline from Russia to Germany, being built under the Baltic Sea. The Shtokman project has been estimated at $30 billion.
"We have selected a construction site in the village of Teriberk," said Yury Komarov, general director at Sevmorneftegaz, a joint venture established by Russian gas monopoly Gazprom and state-owned oil company Rosneft to develop the Shtokman gas project.
The official said the companies involved in the Shtokman development were currently drafting documents for the construction of a plant.
"We should produce the first natural gas at Shtokman by July 2013, and everything should be prepared for the launch of LNG supplies by January 2014," Komarov said adding that work was currently progressing on schedule.
Yury Yevdokimov, governor of the Murmansk Region by the Barents Sea, said the new plant would have "serious social infrastructure," including 28 four-story apartment blocks, two kindergartens, three schools, a swimming pool and a clinic to be built alongside and "even at a faster pace."
Gazprom has a 51% stake in the project, while France's Total and Norway's Statoil Hydro have 25% and 24%, respectively.
Statoil Hydro was selected as a partner on October 25. Last year Gazprom rejected five foreign bidders for the Shtokman project.
