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Russia's Gazprom and Chinese CNPC agree on terms of western route gas supplies to China

Gazprom and of China National Petroleum Corporation (CNPC) extended strategic partnership agreement for 5 years

Russian President Vladimir Putin and Gazprom CEO Alexey Miller during the meeting with the Chinese side Mikhail Klimentyev/TASS

Russian President Vladimir Putin and Gazprom CEO Alexey Miller during the meeting with the Chinese side

© Mikhail Klimentyev/TASS

MOSCOW, May 8. /TASS/.Gazprom CEO Alexey Miller and Vice President of China National Petroleum Corporation (CNPC) Wang Dongjin signed an agreement on the basic conditions of gas supplies from Russia to China through the western route. The document was approved in the presence of Russian President Vladimir Putin and Chinese President Xi Jinping after talks in the Kremlin Friday.

The agreement was signed between the companies’ subsidiaries - Gazprom export and PetroChina International.

Alexey Miller said the Kanas Pass will become the delivery point of Russian gas to Chinese partners on the Western route.

The document signed on Friday with China’s CNPC contains a significant portion of clauses that will be the basic ones for the Western route gas supply contract, Miller said. "These are gas volumes, delivery timeline, supply increase period, monthly and daily volumes of supplies," Gazprom CEO said.

"The start of natural gas supplies over the Western route will be linked to the closing date of a contract with CNPC," Miller added.

Strategic partnership agreement between Russia's Gazprom, China's CNPC extended for 5 years

Gazprom and of China National Petroleum Corporation (CNPC) extended strategic partnership agreement for 5 years, Gazprom Head Miller said in an interview with Rossiya 24 channel Friday.

Read also

Altai gas pipeline to offer direct competition to Russian gas supplies to Europe — Gazprom

According to him, in particular the agreement provides increasing the supply volume, which involves the construction of the first, second and third Altai pipelines, he said.

TASS reported earlier it is initially planned to supply 30 bln cubic meters a year during 30 years but volumes may grow. The Altai gas pipeline or the so-called Western route will be the direct competitor to Russia’s natural gas supplies to Europe. Unlike the Power of Siberia project (the Eastern route), the Altai gas pipeline has the same resource base in the West Siberia as for Gazprom’s gas deliveries to Europe, Alexei Miller said.

The length of the Altai gas pipeline will total 2,700 km.

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China Oil & Gas Gazprom

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