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    Gazprom Execs Fly Over 2nd China Pipeline Route

Summary

A second Russian gas export line to China has been proposed that will carry more than the first, and cross Mongolia.

by: William Powell

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Complimentary, Natural Gas & LNG News, Asia/Oceania, Corporate, Exploration & Production, Political, News By Country, China, Mongolia, Russia

Gazprom Execs Fly Over 2nd China Pipeline Route

A Gazprom delegation headed by deputy chairman Vitaly Markelov flew over Mongolia, tracking the path of the proposed Soyuz Vostok (Union East) gas pipeline, the company said March 11.

The company was paying a working visit to the country, which has agreed to transit Russian gas to China. The pipeline will become an extension of Russia's Power of Siberia 2 gas pipeline in Mongolian territory.

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Russia has talked about expanding pipeline sales to China to over 100bn m³/yr, and unlike the existing 38bn m³/yr Power of Siberia which is already operational and crosses the Russia-China border in the far east, this line will take gas from fields in western Siberia that could also use existing infrastructure to flow to Europe.

Markelov also met Mongolia's deputy prime minister Sainbuyan Amarsaikhan, and they held a meeting to discuss the status of the ongoing feasibility study. They set up the special-purpose vehicle Gazoprovod Soyuz Vostok (GSV). They also signed the action plan of the working group 2021–2022. 

Gazprom and the government of Mongolia signed a memorandum of understanding in 2019 envisaging a major new export route for Russian gas, and they set up GSV to carry out design and survey works and conduct a feasibility study regarding the construction project.

Mongolia has no gas production of its own but an Australian explorer Elixir is seeking to develop very large coalbed methane resources near its border with China.