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SHANGHAI, May 20. /ITAR-TASS/. Russia's state energy giant Gazprom and the China National Petroleum Corporation (CNPC) go ahead with talks on a gas contract and continue searching for a compromise, Gazprom CEO Alexei Miller told journalists on Tuesday.
“Negotiations are held continuously, the parties are searching for a compromise,” Miller said. “The contract may be signed on a mutually beneficial basis.”
On May 15, Gazprom said talks on parameters and conditions of the contract for Russian gas deliveries to China were close to completion. Signing of the contract was expected in the course of Russian President Vladimir Putin’s current visit to China.
The basis price for the supply of Russian gas to China through an eastern pipeline route may amount to $400 per 1,000 cubic metres of natural gas.
Liquefied natural gas exports from a plant in Vladivostok in Russia’s Far East might start in 2018-2020 with a projected annual capacity of 38 billion cubic metres. The project will mean diversification of gas supply routes for Russia and will help China to ease its energy deficit.