• 4 minutes China 2019 - Orwell was 35 years out
  • 7 minutes Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 11 minutes Trump will capitulate on the trade war
  • 14 minutes Glory to Hong Kong
  • 4 hours PETROLEUM for humanity 
  • 4 hours Why don't the other GOP candidates get mention?
  • 4 hours Disenfranchised people are angry people - map of global electoral systems
  • 4 hours Bloomberg: shale slowing. Third wave of shale coming.
  • 3 hours Brexit agreement
  • 32 mins Yesterday Angela Merkel stopped Trump technology war on China – the moral of the story is do not eavesdrop on ladies with high ethical standards
  • 3 mins China's Blueprint For Global Power
  • 11 hours ABC of Brexit, economy wise, where to find sites, links to articles ?
  • 13 hours Erdogan Holds All The Cards ... 3.6 Million Of Them
  • 9 hours Spain Is On The Edge...Clashes Between Catalonia And "Madrid"
  • 10 hours 5 Tweets That Change The World?
  • 12 hours Philadelphia Energy Solutions seeks to permanently shut oil refinery - sources
Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Russia May Break Gazprom Monopoly To Stimulate LNG

A Russian Security Council commission has recommended breaking down Gazprom’s gas export monopoly in a bid to boost the competitiveness of Russia’s gas, Russian daily Vedomosti reported after seeing the protocol from a July 6 meeting of the commission.

The global rise in LNG as a replacement for natural gas and oil is a threat to Russia’s energy security, the commission concluded, and Moscow needs to take urgent action to turn Russia into a major exporter of LNG.

The global structure of fuel demand is changing, the protocol said, and new LNG projects are spurring more intense competition in Europe and Asia – key markets for Russian natural gas. To tackle the problem, the commission proposed prioritizing the development of the local LNG industry, devising a “coordinated strategy” for gas deliveries to key markets, and liberalizing gas exports.

Currently, Gazprom is the sole pipeline exporter of natural gas. There is one LNG plant in Russia, with an annual capacity of 9.6 million tons, operated by Sakhalin Energy, a company that’s majority-owned by Gazprom. Companies other than Gazprom can export LNG, however, as long as they were licensed by 2013 to develop gas deposits with the option of building liquefaction trains there. Related: Is The Shale Rebound Causing A Return Of Flaring?

Novatek, Russia’s largest gas independent, staked a claim in LNG when it started building the Yamal LNG plant, which should start operating by the end of this year. When it reaches full capacity, in two years, the Yamal facility would process 16.5 million tons of LNG. Novatek also has plans for another LNG plant, Arctic LNG-2, with an annual capacity of 18 million tons.

Gazprom is pursuing its own LNG projects: the state company has two LNG plants in the works with a combined capacity of 20 million tons annually. Rosneft, the other state mammoth, holds the majority stake in Pechora LNG, but the capacity and timeline for this project have not yet been established.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment
  • Naomi on August 18 2017 said:
    USA LNG must replace Gazprom supplies to Europe for security reasons and for balance of trade. If Russia adds significantly to world LNG infrastructure then the price of oil would fall. Russia cannot win.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play