CNPC in Russia
CNPC has investment in two JV projects in Russia: Yamal LNG and Arctic LNG2. Additionally, CNPC has participated in the construction and operation of the Russia-China Crude Pipeline, the Eastern Route of the Russia-China Gas Pipeline and the integrated LNG project.
CNPC works with its Russia partners under the concept of “mutually beneficial and win-win cooperation for common development”, striving to expand oil and gas cooperation in Russia, bolster economic and trade ties between China and Russia, and increase supply of high-quality clean energy to the world.
Oil and Gas Operations
Russia-China Crude Pipeline
The Russia-China Crude Pipeline has two lines laid in parallel, with annual capacity of 15 million tons for each. The Chinese section of the pipeline starts at Mohe in Heilongjiang Province and ends at Linyuan Oil Distribution Station in Daqing.
Highlights:
- China’s first intelligent pipeline with the largest single-line throughput
Eastern Russia-China Gas Pipeline
The Eastern Russia-China Gas Pipeline, becoming operational in December 2019, will supply gas to China for a period of 30 years with a design deliverability of 38bcm per annum. The Chinese section of the pipeline starts at Heihe, Heilongjiang Province, in the north and winds its way through nine provinces/municipalities to Shanghai municipality in the south, with a total length of 5,111 km.
Highlights:
- An integral part of China’s northeast strategic energy channel
- Registering several records in the industry domestically
Yamal LNG
Located in the Yamal Peninsula in northern Russia, Yamal LNG is a mega upstream and downstream integration project encompassing natural gas exploration and production, processing and liquefaction, as well as LNG shipping and sales. The first LNG train was launched in December 2017, the second LNG train was commissioned in August 2018, and the third LNG train became operational in November 2018 ahead of schedule. The fourth LNG train is expected to be put on stream in 2020.
Successful implementation of the Yamal LNG project has promoted the diversification of Russia’s energy exports, and boosted infrastructure construction in the Arctic region and the development and utilization of the Northeast Passage, bringing huge economic, social and technological benefits to Russia. CNPC has provided irreplaceable support in project financing, modular construction and product sales for Yamal LNG with its full participation.
Highlights:
- The world’s largest LNG project in the Arctic region
- Completed and put on stream one year ahead of schedule
- Created over 60,000 job opportunities for Russia
Arctic LNG2
Arctic LNG2 is located in the Arctic Circle, west of the Gydan Peninsula. Natural gas is provided by the Salmanovskoye gas-condensate field. Built on concrete gravity-based structures (GBS), Arctic LNG2 boasts the largest design capacity of 19.8 Mt/a for LNG and 1.6 Mt/a for condensate in the Arctic region. The three LNG trains, each with a capacity of 6.6 Mt/a, are scheduled to be completed and put into operation in 2023, 2024 and 2026, respectively.
Highlights:
- The world’s first LNG project using GBS and modular construction in the polar region
- To be completed with a 19.8 Mt/a capacity by 2026, the project boasts the largest design capacity for LNG production in the Arctic region
- Partners of the project actively further explore the Arctic Sea Route in an effort to further improve the important transportation channel connecting the European and the Asia-Pacific markets. By then, the logistics model integrating rich resources with potential markets will change the landscape of the global natural gas market