Russia and China sign agreement for the construction of the 'Power of Siberia 2' gas pipeline.

By Bianca Penteado, from Beijing – Gazprom, the Russian natural gas giant, announced on Tuesday (2) the signing of a legally binding memorandum with China National Petroleum Corporation (CNPC) for the construction of the "Power of Siberia 2" gas pipeline. Extending 2.600 kilometers, the project aims to transport natural gas from Russia to China, passing through Mongolia.

The agreement was formalized in a ceremony attended by Presidents Vladimir Putin of Russia and Xi Jinping of China. Among the four documents signed at the event was the Strategic Cooperation Agreement, aimed at expanding collaboration between the companies involved.

Alexey Miller, CEO of Gazprom, explained to the press that, with the completion of the project, Russia will be able to send up to 50 billion cubic meters of natural gas to China annually for a period of 30 years. 

“Today, a very important step was taken to further strengthen and develop our strategic partnership, increase the reliable supply of clean energy, natural gas, to China, and meet the demand of China’s rapidly growing economy for this type of fuel,” Miller said.

The supply of Russian gas to the country, through the "Power of Siberia" pipeline, began operating in 2019 and, since 2020, has exceeded the annual volume of Gazprom's contractual obligations. The company reported that, by May 2025, the total gas supplied to China through this route had already surpassed 100 billion cubic meters.

Miller also emphasized that, despite the central agreement already being signed, there are still steps to be completed before the project is realized. One of the outstanding issues is defining the price of the gas to be transported by the new pipeline. "Clarification of financing volumes, these are issues concerning the commercial terms of deliveries, all will be resolved within the current timeframe," he assured.