Russia and China may agree on gas exports in April or May - expert
IRKUTSK. March 27 (Interfax) - In response to the present-day political situation and Europe's plans to diversify its supply of energy sources, Moscow and Beijing may sign a contract on Russian natural gas exports to China in April or May, Russian National Security Foundation General Director Konstantin Simonov said.
"In my opinion, the chance of signing this contract in April or May is very high. Both Russia and China are interested in it. It [China] now needs price benchmarks in regard to volumes because there are also other consumers - Japan and South Korea. Previously, we were able to wait for [China] because there was certainty in relation to the European market. But this situation is different today. Today many people tend to underestimate the scope of problems with Europe," Simonov said at an international oil and gas forum in Irkutsk on Thursday.
Russian gas giant Gazprom will soon step up the development of the Eastern Gas Program, he said.
When commenting on a possible gas price for China, the expert said that "today China's contract sets the price for Australian gas at $800-$900 per 1,000 cubic meters."
"I believe that it is twice as high as Gazprom's possible price to be set in the contract with China. China says that it does not appear to need our gas, but their gas balance will not remain without raw materials from Russia by 2020," he said.
