A New Year & New Gas Records.

With all the days of holiday hurly-burly, Champagne, and Caviar, the people at Gazprom have kept their goal-oriented noses to the grindstone in their pivot to Asia.

On January 3, 2024, Gazprom set a new historical record for daily gas supplies to China, establishing not one, but two records so far in 2024. The gas we're talking about is part of a bilateral long-term gas purchase and sale contract between Gazprom and China's CNPC.

The previous record was set just the day before on January 2, 2024, after the daily pipeline gas being supplied to China achieved the high levels stipulated in their contract for 2024.

Deliveries through the "Power of Siberia" the central gas pipeline from Russia to China with a length of about 3 thousand kilometers, began in late 2019. The flow was from the Chayandinskoye field in Yakutia, and now, a few years later gas is being piped from the Kovykta field in the Irkutsk region as well.

Gazprom delivered 15.4 billion cubic meters through the "Power of Siberia" in 2022, and in 2023 increased deliveries to 22.7 billion cubic meters. The pipeline and its branches are scheduled to reach a full export capacity of 38 billion cubic meters of gas per year in 2025.

The development of the expanded "Chinese vector" will also include within the Power of Siberia two additional routes: from the Far East of Russia and through Mongolia. A contract for supplying 10 billion cubic meters per year has been signed for the former, while the second route to supply 50 billion cubic meters per year is today under active development.

From the sound of these new records, there should be no shortages, trade restrictions, or price hurdles to prevent China, and for that matter all of linked Asia from enjoying the secure economic benefits of the power of Siberia and its growing branches.