Russian gas monopoly Gazprom and state-owned Kuwait Petroleum Corporation have signed a memorandum of understanding, agreeing to cooperate in liquefied natural gas (LNG), liquefied hydrocarbon gases (LHG) and other petrochemical projects, as well as in scientific, technical and investment areas

Russian gas monopoly Gazprom and state-owned Kuwait Petroleum Corporation have signed a memorandum of understanding, agreeing to cooperate in liquefied natural gas (LNG), liquefied hydrocarbon gases (LHG) and other petrochemical projects, as well as in scientific, technical and investment areas.

Gazprom Chairman Alexey Miller and Kuwait Petroleum Corporation CEO Nizar Al-Adsani signed the accords in the Black Sea resort of Sochi where Russian President Vladimir Putin and the Emir of Kuwait Shaikh Sabah Al Ahmad Al Jaber Al Sabah held official talks.

At present, Gazprom is implementing the Baltic LNG project, a proposed LNG plant construction, in Russia’s Leningrad Region oriented at the European and Latin American markets. The plant’s capacity will be 10 million tonnes of LNG per year with the possibility of expansion up to 15 million tonnes.

Putin and Shaikh Sabah discussed ways to develop their relations in all fields, as well as the latest regional and international developments, primarily the Middle East and anti-terrorism efforts.

Shaikh Sabah offered his “heartfelt and sincere condolences” to Putin for the victims of the recent Russian passenger plane crash in Egypt’s Sinai Peninsula.

Putin started the meeting by discussing the situation in the Middle East and describing it as rather difficult, according to TASS.

“We are very glad to have an opportunity to meet with you and talk about our bilateral relations and about the situation in the region with you and your colleagues,” Putin said.

A statement of intent was signed between the Kuwaiti Ministry of Defence and the Russian firm Rosoboronexport for military equipment.

Moreover, Kuwait’s sovereign wealth fund, the Kuwait Investment Authority (KIA), has allocated an additional $500 million to investment projects in Russia in partnership with the Russian Direct Investment Fund (RDIF). This follows $500 million that KIA allocated for investment with RDIF in 2012.

Kuwait was the first of the Arabian monarchies of the Persian Gulf to have established diplomatic relations with the Soviet Union. Kuwaiti experts note that Russia is an important player in the region.

by Kostis Geropoulos Energy & Russian Affairs Editor, New Europe

http://neurope.eu/article/russia-kuwait-ink-lng-deal/