* Gazprom drops opposition to plant expansion
* Russia wants to double global LNG market share by 2020
MOSCOW, Dec 23 (Reuters) - Russia's top natural gas producerGazprom approved on Monday an expansion of theSakhalin-2 liquefied natural gas (LNG) plant it co-runs withRoyal Dutch Shell, bending to pressure from itsAnglo-Dutch partner.
Gazprom long opposed the idea of constructing a third line,or train, at the plant on the northwest Pacific island ofSakhalin, the only operational LNG plant in Russia, whichproduces 10 million tonnes of the frozen gas a year.
Gazprom cited different reasons for refusing to expand theplant, including a lack of gas resources, but Shell warned theKremlin-controlled company of the risks of missing out on a peakin gas prices.
Gazprom said CEO Alexei Miller and Shell's CEO Peter Voserhad met in Moscow last Friday and had agreed to recommend thatSakhalin Energy operational company's board discuss the designof the third line.
Japan's Mitsui and Mitsubishi are alsoshareholders in the project
Sakhalin-2 was one of the world's largest LNG projects whenlaunched in 2009, but has dropped down the pecking order asmillions of tonnes of new capacity came on stream globally,especially in Qatar, Africa and Australia. The United States isalso mulling LNG exports.
Russian President Vladimir Putin has urged local companiesto develop production of seaborne LNG with the goal of doublingRussia's global market share to around 10 percent by 2020.
Earlier this month he scrapped Gazprom's monopoly on LNG exports.
Gazprom said it had agreed with Shell to sign a detailedroadmap in February for implementing the expansion project.
Gazprom also plans to set up an LNG plant in the Pacificport of Vladivostok with a view to producing up to 15 milliontonnes of LNG after 2018.
