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Russias Natural Gas Reserves
- By Oil and Gas Author
- Published 09/1/2006
- Crude Oil Petroleum , Natural Gas Petroleum , Exploration and Discoveries , Liquefied Natural Gas LNG , Oil Field Development , Environment and Pollution , Petroleum Pipeline
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Oil and Gas Author
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View all articles by Oil and Gas AuthorThe Kovytka Natural Gas field, 63 percent owned by TNK-BP, could provide China with natural gas in the next decade via a proposed Pipeline. The project is expected to come online in 2006, but would only provide natural gas to local markets. China has stated it is ready to import up to 700 Bcf per year from the project; but since the natural gas would not arrive until 2012 at the earliest and since China is pursuing other natural gas import plans in the meantime, it is possible that Kovytka natural gas will not have a buyer. Russian Deputy Prime Minister Aleksandr Zhukov has expressed support for the plan, while Gazprom and CNPC have set up a strategic agreement to examine a pipelines feasibility. According to statements during the Fall of 2005 from Gazprom, the company is still negotiating with TNK-BP on the extent to which TNK-BP would be involved in the export of the natural gas to China. Gazprom does not favor a direct link from Kovytka to China that is not a part of Gazproms natural gas pipeline network. As a result, Gazprom may even delay development of the project because it anticipates that the fields potential output is much higher than local demand.
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