Gazprom Accelerates Pipeline Project to Meet Gas Supply Obligation to China

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Gazprom Accelerates Pipeline Project to Meet Gas Supply Obligation to China

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Pipeline for gas exports with Russian flags (© Shutterstock/Fly Of Swallow Studio)
Pipeline for gas exports with Russian flags (© Shutterstock/Fly Of Swallow Studio)

Russian gas giant Gazprom has moved forward with its plans to expedite the construction of a connecting pipeline between its Sila Sibiri 1 and Sakhalin-Khabarovsk-Vladivostok networks, aiming to meet its contractual obligations to supply China with 10 billion cubic meters of gas annually.

The decision follows significant delays in the subsea gas production infrastructure delivery for the South Kirinskoye offshore field near Sakhalin Island. The equipment, originally intended to be manufactured by Almaz-Antey, a Russian state-controlled defense company, has faced production challenges.

South Kirinskoye, with recoverable reserves exceeding 800 billion cubic meters, was envisioned as a key source of gas for China via the Sakhalin-Khabarovsk-Vladivostok pipeline and a dedicated line, Sila Sibiri 3. The project has been impacted by sanctions imposed on Russia following its annexation of Crimea in 2014, which led to the withdrawal of Western contractors.

Gazprom's deputy executive chairman, Vitaly Markelov, stated that the 880-kilometer connector pipeline is expected to be operational by 2026, enabling gas deliveries from the Kovykta and Chayanda fields in East Siberia to be redirected to China via the Sakhalin-Khabarovsk-Vladivostok pipeline and Sila Sibiri 3.

The Russian government has also expressed support for the project, with Industry and Trade Minister Anton Alikhanov indicating that Almaz-Antey is making progress in manufacturing the necessary subsea wellheads and trees for the South Kirinskoye field.