THE Russia expected to export natural gas in China with prices up to 28% lower of them for them Europeans its customers, at least until the 2027Bloomberg reported citing the financial prospects of the Russian Ministry of Economy.
In 2023, the state-owned Russian energy company Gazprom published evidence showing that the production of natural gas decreased by 25%.
Gazprom claimed – among other reasons – that the drop was due to “the adoption, in a number of countries, of politically motivated decisions aimed at denying the import of Russian natural gas».
Gazprom saw China as a market future development and was expected to face decrease in demand from Europe by the end of the decade, Bloomberg reported, citing previous statements by the Russian giant.
According to outlook data obtained by Bloomberg, Russians see the price of natural gas exports to China at 257 dollars per 1,000 cubic meters, compared to $320.30 for western markets, considering the baseline scenario.
Russia predicts that the price for the China may reduced from 2025 to 2027, while the cost of Europe is likely to remain “approximately constant».
The outlook also shows that the total exports natural gas of Russia will increase at least until 2026, supported by increase her production natural gas, after falling in 2022.
Currently, Gazprom delivers gas to China through the pipeline Power of Siberia and aims to increase the volume to the planned annual maximum of 38 billion cubic meters in 2025, according to Bloomberg.
The agency also reported that the exports natural gas is going to increaseas Moscow and Beijing consider launching the Power of Siberia 2 link, bringing Gazprom’s deliveries to a total 98 billion cubic meters annually.
“However, even if the plans go ahead and all three pipelines operate at full capacity, they will carry only about half of what Russia was sending to Europe before the war in Ukraine,” the Bloomberg article said.
Earlier this month, Reuters wrote that the income from oil and natural gas of Russia for him Aprilit will be almost twice as much from the corresponding month last year, proving that the western sanctions targeting Moscow’s oil and gas industries, were not as effective as expected.
