Natural Gas in Exchange for Time

During his meeting with Gazprom CEO Alexey Miller, Russian President Vladimir Putin suggested that Gazprom “specify” when the project to supply natural gas to China by means of the Altai gas pipeline is to be carried out. The pipeline is being designed now. “Specification” might be the bargaining for price with China: if Gazprom fails to increase the profitability of the project, the date of beginning the supplies might be postponed for 3 or 4 years from 2011.

President Putin met with Gazprom CEO Alexey Miller on Thursday night. Miller reported on planned gas supplies to China according to the memorandum of understanding signed by Gazprom and CNPC in March. Putin announced in spring that 80 billion cubic meters of natural gas are to be sold to China, which was later changed to 68 billion cubic meters.
Kommersant