Novatek has agreed with the domestic shipyard (Public Joint Stock Company) Zvezda to build ice-class Arc7 tankers for the Arctic LNG-2 project. Novatek has signed an agreement to reserve construction capacity at the Zvezda shipyard that compatriot state oil giant Rosneft is building in Russia's Far East. The agreement paves way for potential shipowners to sign contracts with the yard to build the tankers, backed by freight agreements with Novatek. The choice of Zvezda is in line with the Kremlin's policy to support the domestic shipbuilding industry, although Novatek has expressed previously concerns about Zvezda's ability to build Arc7 tankers of high quality at competitive prices on time. The cost of construction of an Arc7 tanker is estimated to exceed $300 million.