Gazprom loses, Novatek wins in China

The visit of the Russian President, Vladimir Putin to China has ended with disappointment for Gazprom and the company’s investors. The agreement on long-term supply of pipeline gas to the country hasn’t been signed. As it turned out, the issue of natural gas price for China,which was uncoordinated, hasn’t been resolved. And according to statements of Rosneft’s president, Igor Sechin, who was present at the negotiations, the signing of the contract may take quite a long time and will depend on the initiative and responsiveness of the legislators and relevant ministries of both countries. Sechin stated that China was ready to cancel the import duty on Russian gas, and Russia, in turn, could nullify the MET on gas, extracted from fields that will become the resource base for future exports to China.