Gazprom and CNPC address outlook for Russian gas supplies to China
Beijing hosted today a working meeting between Alexander Medvedev, Deputy Chairman of the Gazprom Management Committee and Wang Dongjin, Vice President of the China National Petroleum Corporation (CNPC). The meeting took place upon completion of another round of the Russian-Chinese Energy Dialog, led by Arkady Dvorkovich, Deputy Prime Minister of the Russian Federation and Wang Qishan, Vice Premier of the State Council of the People's Republic of China.
The parties discussed the results of the Energy Dialogue as well as agenda to be set between Gazprom and CNPC to reach the agreements on Russian pipeline gas and LNG supplies to China.
CNPC is the largest state-owned petroleum company in China (the Government holds a 100 per cent stake) and is one of the world's leading integrated oil and gas production companies.
Gazprom and CNPC signed the Agreement of Strategic Cooperation on October 14, 2004. Among other things, the Agreement covers examination of the issues relative to the arrangement of natural gas delivery from Russia to China by Gazprom. The opportunities are also being explored for joint gas processing and gas chemical projects in eastern Russia and in third countries. The Joint Coordinating Committee was set up to supervise the Agreement implementation. The Committee resolved to set up the Joint Working Group to ensure day-to-day execution of the Agreement in parallel with working groups for major joint businesses.
In June 2009 the Governments of Russia and China signed the Memorandum of Understanding for cooperation in the natural gas sector.
In October 2009 Gazprom and CNPC inked the Framework Agreement on major terms and conditions for natural gas supply from Russia to China. In December 2009 the Basic Major Terms of Gas Supply from Russia to China were signed.