Power of Siberia might be postponed in favor of Altai gas pipeline
The realization of Power of Siberia might be postponed in favor of the western route of gas supply to China – “Altai” gas pipeline, Reuters reports referring to the sources familiar with Gazprom’s plans.
Russia might postpone the completion of construction of Power of Siberia until a less expensive gas pipeline Altai is not constructed. The latter will allow to ship gas to China from the existing deposits, 3 sources in the industrial and bank spheres told the agency. The Altai pipe is to be laid a fee thousand km to the west of Power of Siberia.
“The gas from Yamal needs new markets, that’s why Gazprom stands for Altai route. By that reason the “Power of Siberia” and “Vladivostok” projects are not in priority”, a source said. They said that Power of Siberia doesn’t have a raw materials base as yet to which it could be connected.
Currently Gazprom and CNPC (China) are negotiating on the signing of a contract for gas supply to China by the western route (Altai). At the initial stage the gas supplies to China by this route might be 30 bln cubic m a year. In future the second and third branches of the gas pipeline might be constructed, reaching the potential productivity of up to 100 bln cubic m a year.
