News / Europe

Russia Says Gazprom, China Close to Gas Agreement

FILE - Vehicles are seen at a gas filling station, owned by Gazprom Transgaz Stavropol, with the company logo of Russian natural gas producer Gazprom seen on the station, in Stavropol in southern Russia.
FILE - Vehicles are seen at a gas filling station, owned by Gazprom Transgaz Stavropol, with the company logo of Russian natural gas producer Gazprom seen on the station, in Stavropol in southern Russia.
Reuters
Russia's Gazprom and China may sign a landmark gas deal next month, a Russian official said on Wednesday, marking some progress in a long-stalled agreement that would boost Moscow's efforts to turn eastwards away from Western sanctions.
 
The gas supply deal is the Holy Grail for Moscow after at least 10 years of talks, and if signed would mark a victory for President Vladimir Putin who has warned the West that attempts to isolate Russia over its annexation of Crimea would backfire.
 
Arkady Dvorkovich, a deputy prime minister, was quoted as saying during a visit to China that Gazprom and China were close to reaching agreement, paving the way for the construction of a pipeline to carry 38 billion cubic meters (bcm) of gas a year.
 
“Regarding Gazprom's gas contract, the sides are close to agreement... The only issue remaining is... the price,” he was quoted as saying by Itar-Tass news agency, adding that both sides planned to discuss contract details on Wednesday.
 
“We really hope that the contract will be signed in May.”
 
Russia ships around 16 percent of its total crude exports to Asia, while gas volumes are small, limited to those of super-cooled gas.
 
The gas deal would help Gazprom reduce its dependency on exports to Europe, which gets around a third of its gas needs from Russia with the bulk of transit coming via Ukraine.
 
Moscow is again at odds with Ukraine over gas payments after Gazprom hiked prices by 80 percent earlier this month in what Ukraine said was a politically-motivated move to punish Kyiv for pursuing closer ties to the European Union.
 
Bypassing Ukraine by using different pipelines or reorienting trade to the East have become priorities for the Kremlin, and could strengthen Beijing's negotiating position on price.
 
Gazprom has been in painstaking talks over the last 10 years about shipping gas to China and has been unable to agree on pricing. Putin plans to visit China in May.
 
Putin will hold a meeting with his government on energy cooperation with Ukraine on Wednesday. Some local media have said he may suggest limiting gas supplies to Ukraine, with owes Gazprom $2.2 billion in gas payments.

You May Like

Turkey: No Ransom Paid for Release of Hostages Held by IS Militants

President Erdogan hails release of hostages as diplomatic success but declines to be drawn on whether their release freed Ankara's hand to take more active stance against insurgents More

Audio Sierra Leone Ends Ebola Lockdown

Health ministry says it has reached 75 percent of its target of visiting 1.5 million homes to locate infected, educate population about virus More

US Pivot to Asia Demands Delicate Balancing Act

As tumult in Middle East distracts Obama administration, efforts to shift American focus eastward appear threatened More

Featured Videos

Your JavaScript is turned off or you have an old version of Adobe's Flash Player. Get the latest Flash player.
Saving Global Fish Stocks Starts in the Kitcheni
X
September 22, 2014 11:42 AM
With an estimated 90 percent of the world’s larger fish populations having already vanished, a growing number of people in the seafood industry are embracing the concept of sustainable fishing and farming practices. One American marine biologist turned restaurateur in Thailand is spreading the word among fellow chefs and customers. VOA Correspondent Steve Herman reports from Bangkok.
Video

Video Saving Global Fish Stocks Starts in the Kitchen

With an estimated 90 percent of the world’s larger fish populations having already vanished, a growing number of people in the seafood industry are embracing the concept of sustainable fishing and farming practices. One American marine biologist turned restaurateur in Thailand is spreading the word among fellow chefs and customers. VOA Correspondent Steve Herman reports from Bangkok.
Video

Video For West Ukraine City, Conflict Far Away Yet Near

The western Ukrainian city of Lviv prides itself on being both physically and culturally close to Western Europe. The Russian-backed separatists in the eastern part of the country are 1,200 kilometers away, and seemingly even farther away in their world view. Still, as VOA’s Al Pessin reports, the war is having an impact in Lviv.
Video

Video Chinese Admiral Key in China’s Promotion of Sea Links

China’s President last week wrapped up landmark visits to India, Sri Lanka and Maldives, part of a broader campaign to promote a new “Maritime Silk Road” in Asia. The Chinese government’s promotion efforts rely heavily on the country’s best-known sailor, a 15th century eunuch named Zheng He. VOA's Bill Ide reports from the sailor’s hometown in Yunnan on the effort to promote China’s future by recalling its past.
Video

Video Experts Fear Ebola Outbreak ‘Beyond Our Capability to Contain’

Each day brings with it new warnings about the deadly Ebola outbreak already blamed for killing more than 2,600 people across West Africa. And while countries and international organizations like the United Nations are starting to come through on promises of help for those most affected, the unprecedented speed with which the virus has spread is raising questions about the international response. VOA's Jeff Seldin has more from Washington.
Video

Video Natural Gas Export Plan Divides Maryland Town

A U.S. power company that has been importing natural gas now wants to export it. If approved, its plant in Lusby, Maryland, would likely be the first terminal on the United States East Coast to export liquefied natural gas from American pipelines. While some residents welcome the move because it will create jobs, others oppose it, saying the expansion could be a safety and environmental hazard. VOA’s Deborah Block examines the controversy.
Video

Video Difficult Tactical Battle Ahead Against IS Militants in Syria

The U.S. president has ordered the military to intensify its fight against the Islamic State, including in Syria. But how does the military conduct air strikes in a country that is not a U.S. ally? VOA correspondent Carla Babb reports from the Pentagon.
Video

Video Iran, World Powers Seek Progress in Nuclear Talks

Iran and the five permanent members of the U.N. Security Council plus Germany, known as the P5 + 1, have started a new round of talks on Iran's nuclear program. VOA State Department correspondent Pam Dockins reports that as the negotiations take place in New York, a U.S. envoy is questioning Iran's commitment to peaceful nuclear activity.
Video

Video Alibaba Shares Soar in First Day of Trading

China's biggest online retailer hit the market Friday -- with its share price soaring on the New York Stock Exchange. The shares were priced at $68, but trading stalled at the opening, as sellers held onto their shares, waiting for buyers to bid up the price. More on the world's biggest initial public offering from VOA’s Bernard Shusman in New York.
Video

Video Migrants Caught in No-Man's Land Called Calais

The deaths of hundreds of migrants in the Mediterranean this week has only recast the spotlight on the perils of reaching Europe. And for those forunate enough to reach a place like Calais, France, only find that their problems aren't over. Lisa Bryant has the story.
Video

Video Westgate Siege Anniversary Brings Back Painful Memories

One year after it happened, the survivors of the terror attack on Nairobi's Westgate Shopping Mall still cannot shake the images of that tragic incident. For VOA, Mohammed Yusuf tells the story of victims still waiting for the answer to the question 'how could this happen?'
Video

Video Whaling Summit Votes to Uphold Ban on Japan Whale Hunt

The International Whaling Commission, meeting in Slovenia, has voted to uphold a court ruling banning Japan from hunting whales in the Antarctic Ocean. Conservationists hailed the ruling as a victory, but Tokyo says it will submit revised plans for a whale hunt in 2015. Henry Ridgwell reports from London.
Video

Video A Dinosaur Fit for Land and Water

Residents and tourists in Washington D.C. can now examine a life-size replica of an unusual dinosaur that lived almost a hundred million years ago in northern Africa. Scientists say studying the behemoth named Spinosaurus helps them better understand how some prehistoric animals adapted to life on land and in water. The Spinosaurus replica is on display at the National Geographic museum. VOA’s George Putic has more.
Colonel Steve ‘Spiros’ Pisanos left Greece and came to the U.S. to learn to fly. He flew fighters for the Allies in World War II, narrowly escaping death multiple times.Colonel Steve ‘Spiros’ Pisanos left Greece and came to the U.S. to learn to fly. He flew fighters for the Allies in World War II, narrowly escaping death multiple times.

AppleAndroid