Gas price isn’t the main problem of Gazprom’s contract with China

Gas price isn’t the main problem of Gazprom’s contract with China – Beijing wants to receive  access to production projects, the Deputy General Director of the National Energy Safety Fund, Alexei Grivach believes.

He recalls that negotiations of Gazprom with Chinese CNPC on the signing of long-term contract of pipeline gas supply from Russia have being lasted about 8 years. The recent visit of the Russian delegation, headed by the Prime Minister, Dmitry Medvedev, brought information of the next agreement of pricing principle on basis of formula, tied to basket of oil products.

“This is the third time within my memory. We sign a memorandum, basic terms, receive consent for use of oil pegging and start new round of the dance with the dragon. The stereotyped view is that everything, except the basic gas price – the price, at which the first gas supplies will start in 3-4 years after the final contract signing, is coordinated. Yes, we don’t have this price, but it’s likely that's not the point,” – the expert said to the agency Prime.

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