24/06/2016
Press-release: Gazprom and CNPC discuss in detail gas supplies via western route
A working meeting between Alexey Miller, Chairman of the Gazprom Management Committee, and Zhang Gaoli, Vice Premier of the State Council of the People's Republic of China, took place today in Beijing.
The parties addressed further steps in the bilateral strategic partnership in the gas industry, particularly Russian gas exports to China. Among other issues discussed were prospects for cooperation in the field of underground gas storage and power generation in China.
Another working meeting was held today between Alexey Miller and Wang Yilin, Chairman of the Board of Directors of CNPC. The parties touched upon the project for gas deliveries via the eastern route. It was noted that the project was running on schedule. Special attention was paid to the upcoming construction of the Power of Siberia cross-border section. Russian gas supplies via the western route were also negotiated in depth.
Background
CNPC is China's state-owned oil and gas company and one of the world's leading integrated energy companies.
In 2014, Gazprom and CNPC signed the Sales and Purchase Agreement for gas to be supplied via the eastern route (Power of Siberia gas pipeline). The 30-year Agreement provides for Russian gas deliveries to China in the amount of 38 billion cubic meters per year.
In 2015, Gazprom and CNPC inked the Heads of Agreement for pipeline deliveries of natural gas from Russia to China via the western route (Power of Siberia 2 gas pipeline). At the initial stage, 30 billion cubic meters of gas is planned to be annually delivered from Western Siberian fields.
Also in 2015, Gazprom and CNPC signed the Memorandum of Understanding for the project of pipeline gas supplies to China from the Russian Far East.
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