China-Russia gas deal creates Arctic winners and losers

cryopolitics

2788563700_02c35d9875_o Photo: Vicki Watkins/Flickr

The $400 billion, 30-year China-Russia gas deal signed in Shanghai on May 21 has sparked a lot of excitement about hydrocarbons in the Russian Arctic and sub-Arctic. Under the agreement, which had been in the works for a decade, Gazprom will supply China National Petroleum Corporation (CNPC) with 38 billion cubic meters of gas annually beginning in 2018. The deal fulfills Russia’s goal, as outlined in its Energy Strategy to 2030 (in English), to increase exports to Asia. By 2030, the strategy envisions that eastern-bound exports of oil will constitute 22%-25% (as opposed to the current 6%), and gas 19-20% as opposed to the current 0%.* Much of this gas will be delivered through a new pipeline that Gazprom is constructing from the Siberian gas fields of Kovykta (Irkutsk) and Chayanda (Yakutsk) to the Chinese border. A couple of other pipelines will also need to be built, as this handy map from the Washington Post…

View original post 1,329 more words

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s