Vladimir Putin convinced Xi Jinping. Russian Gazprom announces that an agreement has concluded to increase their gas deliveries to China and build a new large capacity gas pipe, reports Reuters of Russian press agencies on Tuesday, September 2.
In detail, the general director of Gazprom, Alexei Miller, said an agreement had been signed to increase deliveries through an existing gas pipe, “Power of Siberia”, which links Siberia East with China. The volumes delivered will go from 38 to 44 billion cubic meters (MMC) per year.
Above all, the Gazprom head ensures that a “legally binding memorandum of understanding” is concluded for the construction of the gas pipe “Siberia Power 2”.
This project, pending in recent months, would allow to deliver 50 billion cubic meters per year to China, through Mongolia, of the gas deposits of Bovanenkovo and Kharasavey located in the Yamal Peninsula, in Siberia. These deposits once fed with Europe.
Clearly, this pipe could double Russian gas exports to China and give Russia precious financial resources, while its economy is currently suffering great suffering.
Unprecedented prices
According to Bloomberg, Gazprom, which has the monopoly of Russian gas exports, undertakes to propose a price below that currently practiced for European countries, but specific figures have not been advanced.
There have been no details at this time in terms of the financial distribution of the construction of the new gas pipe. Financial Times reported in 2024 that Xi Jinping still did not follow this project proposed by Vladimir Putin due to its price.
Returning to Asia
This announcement occurs when Russia seeks to strengthen its links with China, its main commercial partner. Moscow has lost a significant market share in Europe due to the sanctions imposed after the invasion of Ukraine decided by Moscow in 2022 and has been looking for several months to redirect its gas facilities to Asia.
It would also be an air bowl for Gazprom, which announced a record loss of 6,400 million euros last year due to European market with recreation.
These agreements were signed during the visit of the president of Vladimir Putin, Vladimir Putin, to China, who must attend a military parade in the Tiananmen square that marks the end of World War II after the official capitulation of Japan.
Xi Jinping and Vladimir Putin registered their proximity on Tuesday, September 2, September 2, in a tense context, the Russian president evoked relations at an “unprecedented level” in front of his Chinese counterpart in Beijing. The latter praised, on the other hand, the relationship of “complete strategic collaboration” between the two countries.
Source: BFM TV
