Russian gas export monopoly Gazprom says it is still on course to build a third Train to its Sakhalin Island LNG plant as it continues to implement large-scale projects in eastern Russia. Enhanced upstream activities are meant to underpin gas supplies to China, as construction of the ‘Power of Siberia’ gas trunkline is said to be ‘on track.’
The Chayanda – Lensk – Olyokminsk pipeline section is being built at present, Gazprom said, stressing that as early as 2018, it will “ensure the operational readiness of Power of Siberia's priority capacities,” running from Chayandinskoye to the Chinese border near Blagoveshchensk.
As the eastern route is being build, Russia and China are negotiating the terms of gas deliveries on the proposed western route – Power of Siberia 2. A third delivery route – from Russia’s Far East – is also evaluated.
Western competitors are observing the progress in upstream and LNG vs pipeline exports in Russia’s Far East. Gazprom seeks to boost LNG supplies to Asia-Pacific. At the latest press conference, the deputy chairmen Alexander Medvedev and Vitaly Markelov stated design documentation is being developed for the construction of Train 3 at Sakhalin II. The liquefaction plant has capacity of up to 5.4 mtpa.
Keen to expand its resource base, Gazprom seeks to double production wells at the Kirinskoye field offshore Sakhalin Island this year. A key resource base for LNG exports to Asia, Kirinskoye has been developed since 2014, with the number of production wells due to rise to four this year and to seven by 2019. Annual gas production from the field is expected to potentially reach 5.5 Bcm.
Pre-development of the Chayandinskoye field is also underway. Eight drilling rigs currently employed to build producing gas wells, but Gazprom said it plans to use five more rigs in the near future.