Gazprom may raise gas exports via Sila Sibiri to China by 6 bcm

MOSCOW, Jun 26 (PRIME) -- Russian gas giant Gazprom is still in talks with China to increase supplies via the Sila Sibiri natural gas pipeline by 6 billion cubic meters of gas to 44 billion cubic meters annually, CEO Alexei Miller said in an interview released on Gazprom’s website on Friday.

“We are in talks with the Chinese partners on increasing supplies via the Sila Sibiri pipeline by 6 billion cubic meters to 44 billion cubic meters annually, organization of gas deliveries from the Far East, construction of the Sila Sibiri-2 pipeline, and the Western route,” he said.

Miller also said that Gazprom may supply a total of over 130 billion cubic meters of gas annually soon to China.

In 2014, Gazprom and CNPC signed a contract, which envisaged that gas supplies via the eastern route would begin in 2019. Gazprom planned to provide China with 38 billion cubic meters of gas annually during 30 years. The company is to start supplies via the pipe with 5 billion cubic meters, and the pipeline will reach its full capacity in several years.

Miller said that the global gas market is going through a difficult period, but Gazprom is very resilient thanks to its huge resource base, a well-balanced trade portfolio, flexible sales conditions, and contemporary trade instruments.

The CEO also said that Gazprom has initiated construction of a comprehensive gas preparation complex at the Kharasaveiskoye deposit in the Yamal Peninsula.

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