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    Gazprom targets first gas from second Power of Siberia field by year-end

Summary

Russia's Gazprom expects to bring the Kovyktinskoye gas field in the east region of Irkutsk by the end of the year, in order to boost gas supply to...

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Gazprom targets first gas from second Power of Siberia field by year-end

Russia's Gazprom expects to bring the Kovyktinskoye gas field in the east region of Irkutsk by the end of the year, in order to boost gas supply to China via the Power of Siberia pipeline, CEO Alexei Miller said on August 31.

Russia launched pipeline gas sales to China via the 38bn m3/year Power of Siberia in late 2019. Currently the pipeline flows gas from only one source, the Chayandinskoye field in Yakutia. Miller noted that gas supplies to China via Power Siberia had risen 60% year/year in the first eight months of 2022, but did not divulge volumes.

Construction of a pipeline linking Kovyktinskoye with Chayandinskoye is being finished, the CEO said. Both fields have a projected peak capacity of 25bn m3/year.

Russia is banking on increased Chinese sales to offset some of the lost volumes to the European market over the coming years. There is a proposal to expand Power of Siberia's capacity to 42bn m3/year. Beyond Power of Siberia, Gazprom has struck a deal to deliver 10bn m3/year of gas from fields off the coast of Sakhalin island.

Longer term, Russia is negotiating with China on the development of Power of Siberia 2, which would connect fields on the Yamal peninsula, currently linked to the European market, to China via Mongolia.  The proposed pipeline would have a capacity of 50bn m3/year.