25/08/2016
Press-release: Alexey Miller and Chinese Ambassador Li Hui express appreciation for Russian-Chinese cooperation in gas sector
A working meeting between Alexey Miller, Chairman of the Gazprom Management Committee, and Li Hui, Ambassador Extraordinary and Plenipotentiary of the People's Republic of China to the Russian Federation, took place at the Gazprom headquarters today.
The parties expressed their appreciation for the high level and ongoing development of the Russian-Chinese relations in the gas industry. It was noted that the bilateral partnership covered a wide range of fields and continued to evolve.
Pipeline supplies of Russian gas to China remain a key item on the parties' agenda. The meeting participants confirmed that the project for gas supplies via the eastern route was going according to schedule and discussed the progress of the negotiations for gas deliveries via the western route.
In addition, the parties underlined the importance of cooperation on underground gas storage, gas-fired power generation, and NGV market development.
Background
In 2014, Gazprom and the Chinese state-owned oil and gas company 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 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.
On June 25, 2016, Gazprom and CNPC signed the Memorandum of Understanding on underground gas storage and gas-fired power generation in China.
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