North Korea to Reap Gas Transit Fees

North Korea is likely to receive $100 million per year if it becomes a transit country for Russian gas supplies to South Korea, a Russian official said on Thursday.

In August, Russia and North Korea had reached an agreement to draw up a project to build a gas pipeline to South Korea. The pipeline will cost an estimated $6 billion.

The expected volume of Russian gas exports to South Korea was raised to 12 billion cubic meters from 10 bcm.

Supplies of Russian gas to South Korea are expected to begin in 2017.