Gazprom agreed to buy Turkmen gas under a new 5-year contract

St. Petersburg, July 4 - Neftegaz.RU. On July 1, the Gazprom Group signed a 5-year contract to purchase natural gas from Turkmengas (for the period through June 30, 2024).

According to the contract, supplies from Turkmenistan will add some 5.5 billion cu m of gas per year to Gazprom's portfolio.

Russia was once the leading importer of Turkmen gas until it was displaced by China in 2010. In 2016, Russia stopped importing natural gas from Turkmenistan after the country refused to lower prices. China has since been the sole buyer of Turkmenistan's gas.

Turkmenistan owns the world's 6th-largest known reserves of natural gas, estimated at 265 trillion cu ft, according to EIA, but has limited infrastructure to export its energy resources.

The Gazprom Group resumed its procurements of Turkmen gas in April 2019. Between April 15 and June 30, a total of 1.2 billion cu me was delivered under a short-term contract.

To read the full story in Russian.