China to increase gas supplies from Kazakhstan, Russia

ASTANA – China intends to increase natural gas supplies from Kazakhstan and Russia, reported the China News Service citing the Chinese representative of state administration for energy affairs.

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The country plans to encourage diversifying its natural gas imports.

“China imported 94.6 billion cubic metres of natural gas in 2017, both through the Central Asian gas pipeline and the China-Myanmar gas pipeline from Turkmenistan, Uzbekistan and Myanmar,” the official said.

He added 22 nations export liquefied natural gas (LNG) to China, improving the diversification of supply sources.

Russia’s Gazprom and China National Petroleum Corporation (CNPC) signed a 30-year agreement in May 2014 regarding gas supplies from Russia to China along the eastern route. The contract outlines an annual supply of 38 billion cubic metres of gas through the Power of Siberia pipeline. The shipment is to begin Dec. 20, 2019.

Russia’s Novatek gas producing company and CNPC are jointly implementing the Yamal LNG project, a liquefied natural gas plant located in Sabetta north-east of the Yamal peninsula, Russia. China has purchased the second instalment.

CNPC is one of Kazakhstan’s main partners in oil and gas extraction, transportation and deep processing. The company has been operating in Kazakhstan since 1997 and now has oil and gas assets and equity in the country, while also providing oilfield services.

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