Russian oil and gas giant Gazprom set a new record for gas supplies to China via the Power of Siberia pipeline on December 7, RT reported on December 9.
Gazprom said it had exceeded the export volume required by China. This is the eighth time Gazprom has exceeded its daily supply record since the beginning of the year.
Russia has agreed to supply 38 billion cubic meters of gas annually to China via the Power of Siberia pipeline from 2025 under a long-term bilateral contract.
Gazprom expects that by the end of 2024, gas supplies to China will exceed annual contractual obligations, pushing pipeline supplies to a maximum of 38 billion cubic meters a month ahead of schedule.
“We see the growing demand for Russian gas in the Chinese market and the important role that Russian gas plays in providing stable energy supplies for the Chinese economy,” said Gazprom CEO Aleksey Miller. “The long-term contracts between Gazprom and China National Petroleum Corporation (CNPC) strengthen the good-neighborly relations between our countries.”
China is receiving most of its Russian gas through the Power of Siberia pipeline - part of the Eastern Route - which was partially put into operation in December 2019, becoming the first pipeline to supply Russian gas to China.
The Eastern route includes the 3,000 km Power of Siberia pipeline in Russia and a section in China spanning a total of 5,111 km.
The project is part of a $400 billion, 30-year deal signed between Russia's Gazprom and China's CNPC in May 2014.
China is the world's largest energy consumer, and its demand for gas is growing as it transitions to clean energy and reduces its dependence on coal. Meanwhile, Russia is one of the world's largest gas exporters, with huge gas reserves, especially in Siberia and the Far East.
Gas trade cooperation benefits both sides: Russia diversifies its markets beyond Europe, while China ensures stable supplies for long-term needs.
For Russia, gas trade with China is strategically important amid tensions with the West and sanctions over the conflict in Ukraine. The Chinese market helps Russia reduce its dependence on the European market.
For China, gas from Russia ensures energy security while reducing the risk of dependence on other suppliers such as the Middle East or Central Asia.
