According to the forecast of the Ministry of Economic Development of Russia, in the next three years, the price of gas for China will be at least 27% lower than for Turkey and a few European clients, and in 2025 the gap will be even greater — up to 38%. The average export cost to China is estimated at $248 per thousand cubic meters, while for Western markets it is $402 for Western markets, writes Bloomberg. Gazprom CEO Alexey Miller believes that prices for China are "objectively lower" because the gas fields feeding the Asian route are closer to the consumer.
Forecasts show that the reorientation to China did not compensate for the loss of most of Moscow's European gas markets after the full-scale invasion of Ukraine in 2022, but only led to even greater dependence on Beijing.
At the same time, it is expected that in 2025, supplies to China via the Power of Siberia pipeline will grow by more than 20% and reach the design capacity of 38 billion cubic meters per year, and the new Power of Siberia-2 project through Mongolia should add up to 50 billion cubic meters annually for 30 years.
For comparison, last year Gazprom exported more than 21 billion cubic meters of gas to Turkey, and through the Turkish Stream pipeline, which is the last operating supply channel to this region, the Russian producer can send almost 16 billion cubic meters of gas to several friendly European countries.
Photo: Bloomberg