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    Gazprom Inks 5-Year Deal to Buy Turkmen Gas

Summary

Gazprom stopped Turkmen gas imports in January 2017, but in October 2018 announced that it was planning to restart.

by: Shardul Sharma

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Natural Gas & LNG News, Europe, Security of Supply, Corporate, Import/Export, Contracts and tenders, News By Country, Russia, Turkmenistan

Gazprom Inks 5-Year Deal to Buy Turkmen Gas

Russian Gazprom July 1 signed a five-year agreement to purchase 5.5bn m3/year of natural gas from state-run Turkmengas, it said July 3.

Gazprom resumed its procurement of Turkmen gas in April 2019. Between April 15 and June 30, a total of 1.2bn m3 was delivered under a short-term contract, it said.

Gazprom stopped Turkmen gas imports in January 2017, but in October 2018 announced that it was planning to restart, buying 3bn m3/yr from the beginning of 2019 – a fifth of what it was buying in the early 2010s, before the export pipeline exploded, allegedly owing to Russia's decision to close a valve. 

Russia has already increased attempts to expand Turkmen projects and Gazprom is in negotiations to develop Turkmenistan's gas fields, but has declined to comment on those talks.