focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.

Less Ads, More Data, More Tools Register for FREE
Stephen Yiu, FM at WS Blue Whale, discusses Nvidia, Visa/Mastercard, Lam Research & Allied Materials
Stephen Yiu, FM at WS Blue Whale, discusses Nvidia, Visa/Mastercard, Lam Research & Allied MaterialsView Video
Ben Turney, CEO at Kavango Resources, explains the company's progress from exploration to mining
Ben Turney, CEO at Kavango Resources, explains the company's progress from exploration to miningView Video

Latest Share Chat

UPDATE 1-Russian lower house backs LNG export law at first reading

Fri, 15th Nov 2013 13:38

MOSCOW, Nov 15 (Reuters) - Russia's lower house ofparliament took a first step on Friday towards allowing rivalsof state-controlled Gazprom to export liquefiednatural gas (LNG), as the world's top energy producing nationstakes a claim to growing Asian markets.

The bill would open the door for Russia's top independentgas firm Novatek and state oil major Rosneft to break Gazprom's monopoly on exports - but only for thesupercooled gas that is shipped by tanker.

The measure passed by an overwhelming majority at the firstreading and is expected to clear parliament quickly. Dependingon when President Vladimir Putin signs it, the measure may takeeffect from January.

Prime Minister Dmitry Medvedev, a former Gazprom chairman,told the government last month that the export reform would give"a new chance for the whole energy industry and allow us to gaina footing" in fast-growing Asian markets.

Gazprom, descended from the Soviet gas ministry, has had itsexport monopoly enshrined in law since 2006. It sells gas mainlyby pipeline to Europe and, despite years of talks, has failed toclinch an export deal to China.

It has also been slow to adopt new technology, only enteringthe LNG business in the past decade by buying into the Shell-led Sakhalin-2 project, on the Pacific Island of Sakhalinclose to Japan.

Thanks to Sakhalin-2, Russia has a share of around 4.5percent of the global LNG market, which is dominated by Qatar.Russia aims to double its share by 2020 to produce 35-40 milliontonnes a year by then.

"This law is essential for as many players as possible toenter the market in addition to Gazprom," said Alexei Kokin, anenergy analyst at Moscow brokerage Uralsib. "It would have beenbetter if it had been passed a year or two ago."

Related Shares

More News
27 Oct 2022 07:30

Shell announces $4bn share buyback as Q3 profits beat expectations

(Sharecast News) - Oil giant Shell announced a $4bn share buyback on Thursday as it posted better-than-expected third-quarter profits.

21 Apr 2022 11:53

Shell turning to China to offload Russian business - report

(Sharecast News) - Shell is reportedly looking to China as it looks to offload its Russian business.

15 Feb 2022 15:54

Shell preparing to sell North Sea gas fields - report

(Sharecast News) - Shell is reportedly preparing to launch the sale of its stakes in two clusters of gas fields in the southern British North Sea, par...

7 Feb 2022 10:52

Berenberg nudges up target price on Shell

(Sharecast News) - Analysts at Berenberg slightly raised their target price on oil and gas giant Shell from 2,350.0p to 2,375.0p on Monday, stating th...

31 Jan 2022 10:53

TOP NEWS SUMMARY: Shell and BHP share unifications go into effect

TOP NEWS SUMMARY: Shell and BHP share unifications go into effect

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.