MOSCOW, June 22 (RIA Novosti) - Gazprom [RTS: GAZP] is looking for ways to reach gas end consumers in China, a deputy board chairman of the Russian gas giant said Thursday.
Alexander Medvedev said Gazprom was holding consultations with major Chinese partners on acquisitions of Chinese gas-distribution companies or on establishing joint ventures.
He added that it was also necessary to determine the price range of gas supplies to China before the parties switched from consultations to negotiations on specific issues.
In March 2006, Gazprom and China National Petroleum Corporation signed a protocol on gas supplies from Russia to China. The protocol covers the timeframe, volume and routes of gas supplies and the gas price formula.
The principal gas route is the western route - the "Altai project" - based on resources in West Siberia. At the second stage, Gazprom will also deliver gas via an eastern route. Gas supplies via both routes will total 68 billion cubic meters a year, and are expected to start in 2011.
