News Digest (www.upstreamonline.com)
In 2025, gas shipments to China via the Sila Sibiri 1 pipeline reached a record 38.8 billion cubic metres, exceeding the contracted annual volume for the first time since operations began in 2019. This provides a highly profitable income source for Gazprom, especially following the loss of significant European export markets.
The profitability of these exports is significantly enhanced by preferential tax treatment from the Russian government. Gazprom has been largely exempt from paying gas production, corporate profit, and other taxes related to the development of the dedicated Chayanda and Kovykta fields and the construction of the Sila Sibiri 1 pipeline itself.
The Sila Sibiri 1 is a dedicated pipeline network, separate from Gazprom's domestic system, built solely to transport gas from the Chayanda and Kovykta fields in East Siberia to China. Gazprom cited continued strong Chinese demand, driven by cold weather, and noted a new daily record for supplies was set on January 10, 2025.
A key associated project is the Amur GPZ, a major gas processing facility near the Russia-China border. Its construction, which began in 2015, fell behind schedule after Western contractors, led by Linde, withdrew in 2022 due to sanctions. The plant is designed to remove helium, ethane, and other heavier components from the raw gas for separate sale.
As of the end of December, the facility was 95.1% complete, with four out of six planned processing trains operational. Each train can process 7 Bcm of gas annually, meaning the four currently operating trains have a combined capacity of 28 Bcm per year. This is approximately 10 Bcm per year less than the total annual contracted supply volume to China.
12 January 2026
This material is an AI-assisted summary based on publicly available sources and may contain inaccuracies. For the original and full details, please refer to the source link. Based on materials by Vladimir Afanasiev. All rights to the original text and images remain with their respective rights holders.