Russian gas giant Gazprom is considering boosting LNG supplies to South Korea from the Sakhalin-2 project, Gazprom said in a statement late Thursday.
Gazprom said that a working meeting between Alexey Miller, chairman of the Gazprom management committee, and Seung-Il Cheong, president and CEO of Kogas, which took place in Russian capital Moscow on Thursday, addressed the status of LNG supplies to South Korea from the Sakhalin II project and the potential of increasing exports.
Kogas and Sakhalin Energy, in which Gazprom has a 50 percent share, signed an agreement in 2005 for the supply of 1.5 million tonnes of LNG per year to South Korea.
In 2009, Russia's first liquefied natural gas plant built by Sakhalin Energy was launched.
According to the company's latest data, in 2015 this LNG plant produced 10.82 million tons of LNG for export to Japan, South Korea, China and Taiwan by either customer ships or company chartered LNG tankers.
Shell has a 27.5 percent stake in Sakhalin Energy, while Mitsui holds a 12.5 percent share and Mitsubishi has a 10 percent interest.
Kogas is focused on the construction and operation of LNG receiving terminals and gas distribution networks, the implementation of international gas projects, and research and development in the gas industry.
In 2016, Gazprom and Kogas inked an agreement to envisage broader cooperation in the field of LNG supplies. The agreement also reflects both parties’ intention to implement joint projects in LNG production, transportation and regasification, and in gas-fired power generation.
By Murat Temizer
Anadolu Agency
energy@aa.com.tr