Igor Sechin: "We Can Provide China With All The Gas It Needs"

Russian Deputy Prime Minister Igor Sechin has said that Moscow can supply China, the largest energy consumer in the world, with all the gas it requires, as the two countries signed agreements on natural gas, coal, nuclear energy and oil.

Speaking to journalists in Beijing on Monday, Sechin said, "There are no limitations for growth of gas consumption in China". He added that Russia is willing to provide China "in full volume" what it requires for economic growth.

A team of delegates led by President Dmitry Medvedev is on a three-day trip to China to strengthen energy ties. According to Sechin, Russia may start providing China with natural gas in 2015 given that both parties settle on every aspect of their collaboration including sources of supply and infrastructure. Chinese President Hu Juntao believes that Medvedev's visit will give “powerful impetus” to the strategic partnership between Moscow and Beijing.

China, the largest polluter in the world, is seeking to triple its usage of gas by 2020 with the intention of reducing reliance on oil and coal. Sechin told that commercial deals with China, including gas price terms, will hopefully be finalized by the middle of 2011. 

Analysts believe that the success of Russia-China cooperation will depend largely on price, as Moscow will be keen on linking oil prices in China to its gas exports, similar to what it did in Europe.