Related Articles
Forward article link
Share PDF with colleagues

Russia could offer China better gas pricing

Russia is well positioned to supply more pipeline gas to China as a weaker currency makes pricing more competitive

The ruble-dollar exchange rate has depreciated significantly over the past 12-18 months. “We don’t think it will recover to previous rates, so what that does is push down the cost of Russian supply. Around 80% of Russian gas costs are ruble-denominated, so the ability of Russia to offer competitive supply into China is not something that has been lost in Beijing,” Gavin Thompson, an Asian gas specialist at energy research firm Wood Mackenzie, told delegates at the GasTech conference. “We think Chinese buyers continue to push hard for attractive pricing. But in a weaker ruble environment Russia will potentially be able to offer more attractive pricing into China”, he added. The ruble-dollar

Also in this section
Nigeria's election hangs over energy sector
19 April 2018
Africa's biggest economy is growing again. But next year's vote is stalling reform and investment in its crucial energy sector
Syria: ruthless business as usual
18 April 2018
The joint US-UK-French strikes on chemicals targets in Syria won’t affect the war—but they could damage Trump's image in the region
Elections a new rupture point in Venezuela crisis
16 April 2018
A Maduro loss in May's election could be a turning point, but recovery will be lengthy