Russia to need $80–110 bln investment to raise LNG output

MAGNITOGORSK, Aug 26 (PRIME) -- Russia will have to invest U.S. $80–110 billion in the next 10 years to raise production of liquefied natural gas (LNG) to 120–140 million tonnes per year from the current 30 million tonnes, Deputy Energy Minister Pavel Sorokin told reporters on Wednesday.

“Russia’s potential is somewhere around 120–140 million tonnes. We are now producing about 30 million tonnes. There is a non-contracted window of at least about 200–250 million tonnes in the world in the span of the next 10–12 years taking into account an increase in demand for LNG. Thanks to the stimulation system built in Russia in the past seven to 10 years, our gas is one of the most competitive ones,” he said.

“We have significant potential to occupy a part of the market or a part of the window. If we look into investment, these additional 100 million tonnes of large-batch LNG production that may come will need from $80 to $100 billion of investment in the next 10 years,” he said.

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