Reuters learns when Russia will complete gas pipeline to China

Alexei Miller, CEO of Gazprom, stated that during Russian President Vladimir Putin’s visit to China last month, a "legally binding memorandum" was signed on the construction of the Power of Siberia-2 gas pipeline.

The agency notes that this indicates Moscow’s efforts to redirect its gas reserves to Asia. This comes after the collapse of energy trade with Europe, previously Russia’s largest market, due to Western sanctions.

The construction schedule for the pipeline had not been previously reported. Reuters emphasized that the key terms of the pipeline construction agreement have not yet been finalized.

It is expected to run through Mongolia and deliver up to 50 billion cubic meters of gas annually from the Yamal Arctic region.

Two industry sources reported that, if an agreement is reached next year, about five years will be needed to build the pipeline and begin deliveries. An additional five years will be required to increase supply volumes.

An informed source noted that Gazprom does not expect the pipeline to reach half of its capacity by 2034–2035 if deliveries start after 2031.

Analysts at the Oxford Institute for Energy Studies believe that with a 2026 agreement, initial deliveries could take place by the end of 2030 or 2031, with significant volume increases achieved by January 1, 2035.

Earlier, in early September, Russian Gazprom announced the signing of an agreement to build the Power of Siberia-2 gas pipeline to China via Mongolia.

For context, deliveries of Russian gas to China via the Power of Siberia pipeline began in 2019.

Currently, Western and Eastern Siberia are not connected by a unified network, and Russia hopes to build Power of Siberia-2 to redirect gas from Western Siberian fields.