On March 21-22, within the official visit of the Russian Federation President Vladimir Putin, Gazprom’s delegation led by the Management Committee Chairman Alexey Miller has undertaken a trip to the People’s Republic of China.

At the meetings held within the visit both sides highly appreciated the work done by the Joint Coordinating Committee of Gazprom and China National Petroleum Corporation (CNPC), achieving, in particular, big progress in agreeing on deliveries of Russian natural gas to PRC.

In the presence of the state heads the parties inked a Protocol on natural gas supply from Russia to PRC, fixing major accords as for the gas supply timing, amount and routes (Eastern and Western), and gas pricing formula principles.

“Today we have reached the in-principle agreements opening the way for Russian gas to China. The Protocol signed is in line with Gazprom’s strategy to diversify its exports and access new sales markets. Deliveries of Russian natural gas to China through an integrated export channel will foster the supply safety & security. We’re looking upon China not only as the most promising market for exports but also as a partner in joint gas transmission and marketing projects,” maintained Alexey Miller.

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Being China’s largest 100%-state owned oil and gas business, China National Petroleum Corporation (CNPC) is a leading integrated oil and gas company of the world.

Incorporated in 1998 on the platform of the Oil Industry Ministry of the People’s Republic of China, CNPC is comprised today of companies catering for oil & gas exploration, development, production, transmission, storage as well as oil refining, petrochemicals and research. CNPC is the largest crude oil producer & supplier and retains a dominating position in oil & gas production, processing and marketing over China. CNPC and its subsidiaries supply 79% of the domestic oil market, control 95% and 40% of PRC’s natural gas and oil products markets, respectively, and are involved in 27 international projects.

Gazprom and CNPC sealed an Agreement on Strategic Cooperation on 14 October 2004 in Beijing within the official visit of the Russian Federation President Vladimir Putin to PRC.