China to Increase Natural Gas Import from Russia and Kazakhstan

NEA: China to Increase Natural Gas Import from Russia and Kazakhstan

The relevant director of the Petroleum and Natural Gas Division, China National Energy Administration revealed on September 5 in Beijing that China will increase the natural gas import from Russia and Kazakhstan to diversify natural gas imports.

The director pointed out that China imported 94.6bcm natural gas in 2017. The piped gas was imported from Turkmenistan, Uzbekistan and Myanmar, etc. through the Central Asia Pipeline and the China-Myanmar Pipeline. Recently China will increase the gas import from Russia and Kazakhstan. The origin countries of China’s LNG import are 22 and more diversified than before. On September 5, the same day of the reveal, China has officially released the State Council's Opinions on Promoting Coordinated and Stable Development of Natural Gas (abbr. as Opinions). In Opinions, China government said that it should establish a diversified overseas supply system. China will accelerate the diversification of import countries (regions), modes of transport, import channels, contract models and participants. China will strengthen multilateral and bilateral cooperation with key natural gas exporters and accelerate key international cooperation projects. Opinions analyzed the current unbalanced situation of China's natural gas industry, and proposed some systematic measures, such as: enhancing the domestic exploration and development, building the diversified overseas natural gas supply system, building a multi-level reserve system, strengthening the natural gas infrastructure and connecting and improving gas supply security emergency system, etc.

Talking about the future direction of natural gas imports, the director said that China will unswervingly push forward the diversification of imports, including the diversification of import origins, the diversification of piped gas and LNG, as well as the diversification of different import pipelines. At the same time, the diversification of contract terms, contract size, pricing model, as well as the diversification of domestic import subjects will also be the direction of efforts and support. The director said that the Opinions is the guidebook of the development of China's natural gas sector, which is of great significance both for the current stable supply of natural gas and for promoting the rapid, healthy and sustainable development of the natural gas industry.