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Gazprom and CNPC Discuss Oil & Gas Supplies to China

Source: www.gulfoilandgas.com 4/27/2012, Location: Asia

The Gazprom headquarters hosted a working meeting between Alexey Miller, Chairman of the Company's Management Committee and Jiang Jiemin, Chairman of the China National Petroleum Corporation (CNPC) Board of Directors.

The parties discussed a wide spectrum of issues including those related to oil and natural gas supplies to China, underground gas storage in the country, sci-tech and personnel training cooperation.

CNPC is the largest state-owned petroleum company in China (the Government holds a 100 per cent stake) and is one of the world's leading integrated oil and gas production companies.

Gazprom and CNPC signed the Agreement of Strategic Cooperation on October 14, 2004. Among other things, the Agreement covers examination of the issues relative to the arrangement of natural gas delivery from Russia to China by Gazprom. The opportunities are also being explored for joint gas processing and gas chemical projects in eastern Russia and in third countries. The Joint Coordinating Committee was set up to supervise the Agreement implementation. The Committee resolved to set up the Joint Working Group to ensure day-to-day execution of the Agreement in parallel with working groups for major joint businesses.

In June 2009 the Governments of Russia and China signed the Memorandum of Understanding for cooperation in the natural gas sector.

In October 2009 Gazprom and CNPC inked the Framework Agreement on major terms and conditions for natural gas supply from Russia to China. In December 2009 the Basic Major Terms of Gas Supply from Russia to China were signed.

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