Novak: the Russian strategy involves increasing its share in world markets LNG


MOSCOW, October 23. Russia intends to develop the production of liquefied natural gas (LNG) and to increase its share in the global market. This was stated today by energy Minister Alexander Novak in interview to TV channel “Russia 24”.

“Our strategy involves active participation in the gas market, including the vector to the East, including the development of liquefied natural gas production and increase our share in world markets”, – said the Minister in an interview with TV channel “Russia 24”.

Gas cooperation with Iran

Speaking about the cooperation with Iran, the Minister noted that Gazprom has proposed to Iran to organize swap supplies of gas. Gazprom, incidentally, offers not only participation in developing gas fields, but also in swap supplies of gas to the North of the country. Iran supplies the North with the South gas, and that the additional costs of transportation. We could supply gas through the North of Iran, and to get this gas in the South of Iran, the swap. Either in the form of liquefied natural gas or a pipeline that already the conditions of the arrangement. It’s worldwide, it’s profitable, it saves on transport costs”, – said Novak.

A joint Bank with Iran

According to the Minister, the delegation of Iran will arrive shortly in Moscow to create joint Bank with Russia. “All the details (creating a joint Bank with Iran – approx.ed.) will be discussed after the fundamental decision. Now we have agreed that the Iranian delegation will arrive specially to discuss the details… the delegation will arrive in Moscow”, – said Novak.

As previously reported, Russia and Iran reached agreements in principle on establishing a joint Bank. This information was published in the statement of the Central Bank of Iran, posted yesterday on the website of the financial institution following the talks, the Directors of the Bank of Valjoly Safe with energy Minister Alexander Novak.

In the message of the Iranian Central Bank noted that Iran and Russia have agreed to establish a joint Bank to facilitate financial transactions between the two countries.

The parties also discussed prospects of entering Iran to the Eurasian development Bank, whose members are Russia, Kazakhstan, Armenia, Tajikistan, Belarus and the Kyrgyz Republic.

The second phase of the power station “Busher”

The Minister also said that the construction of the second phase of the power plant “Bushehr” in Iran will cost $11 billion, the Minister stressed that Iran planned to implement projects of $35-40 billion.

“We are talking about electrification of Railways. These projects are worth about 4.5 billion euros…There are projects on construction and modernization of thermal power plants. It is about 4 thousand MW with a total cost of about $ 6 billion, he said. Projects for development of mineral deposits. Only the company “Zarubezhneft” is considering several projects worth about 6 billion dollars. The projects here supplies of oil and gas equipment, supply industrial equipment, helicopters, Sukhoi SuperJet”.

As said Novak, also from the Russian side of Iran given a list of 21 projects for development of transport logistics in the amount of about $25 billion.

Road show for companies of the Russian Federation

Also, according to Novak, the Iranian company will hold a road show for Russian companies wishing to enter the oil projects.

“Our Iranian colleagues have agreed that in the near future will hold a road show and will present the terms of the contracts for entry into Iranian projects. And it will be done within the next month,” he said, stressing that after this it will be clear to what extent Russian companies will be able to participate in Iranian projects.