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Home Middle East & South Asia

Western route to China showing good dynamics – Gazprom

Yuvraj_ong by Yuvraj_ong
November 16, 2015
in Middle East & South Asia, News, Pipelines & Transport
0

Negotiations on the western route supplying Russian gas to China are showing “very good dynamics”, Gazprom said after a meeting with PetroChina

Progress on negotiating the supply of gas from Russia via China’s western route is going well, Gazprom announced after a meeting with PetroChina.

At a working meeting at Gazprom’s headquarters, Alexey Miller, Chairman of Gazprom’s Management Committee and Huang Weihe, Vice President of PetroChina addressed the issues of arranging Russian gas supply to China via the western route.

“The current project negotiations show a very good dynamics”, Gazprom said in a statement.

“It was pointed out that the main terms and conditions of supply had already been specified, for instance, a Russian-Chinese border crossing corridor for the future gas pipeline.”

The western route would enable the supply of 30 billion cubic meters a year to China from Western Siberia’s fields.

The agreement on a pipeline to supply gas from Russia to China via the western route was signed on 8 May 2015 by Gazprom and China National Petroleum Corporation (CNPC), which has the majority stake in PetroChina, a major Chinese company focused on oil and gas production and sales.

Alexey Miller and Huang Weihe also addressed progress of gas supply to China via the eastern route, around which project operations in Russia and China are running according to schedule, Gazprom said.

The eastern route stipulates gas supply from the Yakutia and Irkutsk gas production centres to China via the Power of Siberia gas pipeline.

Gazprom and CNPC signed a Purchase and Sale Agreement for the Russian gas supply via the eastern route on May 21 2014. This 30-year contract provides for 38 billion cubic meters of Russian gas supplies to China a year.

Gazprom, a global energy company based in Russia, holds the world’s largest reserves of natural gas.

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