Russian gas giant OAO Gazprom (GAZP.RS) aims to sign a contract to
deliver natural gas to Chinese state energy firm China National
Petroleum Corp. by the end of 2013, Gazprom said Wednesday following
talks between the two firms' chief executives.
"Gazprom and CNPC agreed to intensify talks on supplies of
Russian natural gas via the eastern route with the aim of signing a
buy-and-sell contract by the end of 2013," Gazprom said in a statement.
Gazprom is seeking to boost supplies to Asia amid falling
demand and regulatory pressure in its most lucrative European market.
Russia has for years sought to reach a deal with China, but talks have been hobbled by disagreements over price and potential routes.
Gazprom and CNPC confirmed base parameters for deliveries,
including volumes and the planned date for first supplies, Gazprom said
in its statement. Gazprom said it could export 68 billion cubic meters
of gas to China per year.
The companies also discussed potential liquefied natural gas
exports from Gazprom's planned Vladivostok gas liquefaction plant on Russia's Pacific coast.