Work Starts on Final Part of Russia-China Gas Pipeline

Work Starts on Final Part of Russia-China Gas Pipeline

The third and final section of the pipeline will connect to Russia’s Power of Siberia 1 (PoS1) gas pipeline project. The third, southern section starts at Yongqing in Hebei and crosses Shandong and Jiangsu provinces before ending in Shanghai. The June 2025 target date roughly coincides with when supplies through PoS1 are expected to reach nameplate capacity.

The first or northern Chinese section of the pipeline was commissioned in December 2019, with shipments to China through PoS1 having started on 2 December. The northern section runs from the city of Heihe in Heilongjiang province, close to the Russian border, to Changling in the northeastern province of Jilin.

The mid-section of the pipeline was originally scheduled to be completed in October, but the timeline has been pushed back to the end of this year because of COVID-19. Construction on this section started in July 2019.

The Chinese portion of the East Russia-China pipeline will span 3,968km and cut across Heilongjiang, Jilin, Inner Mongolia, Liaoning, Hebei, Tianjin, Shandong, Jiangsu, and Shanghai when fully completed.

PetroChina in 2014 signed a 30-year deal with Gazprom worth around $400bn to import gas through PoS1. Shipments are ramping up slowly amid pressure from the COVID-19 outbreak, with the pipeline transporting 1.67bn m³ to China in the first half of this year, Chinese customs data show. China’s Russian LNG imports were 2.04mn t in the same period, with most coming from the Yamal LNG facility.

PetroChina previously forecast that Russia would export 10bn m³ of gas to China in 2020, gradually increasing by 5bn m³ each year to hit 38bn m³/yr in 2025.