Why Are Majors Shying Away From Gazprom?

Despite being the operator of Russia‚Äôs only operating LNG project, Sakhalin II, Gazprom has experienced quite a bit of misfortune with its pursuits. Its flagship endeavor, Shtokman LNG , ran aground and has been postponed indefinitely after the United States, the main presumed end market, witnessed an unprecedented surge in gas production on the back of to the shale revolution. Another project, Vladivostok LNG, destined to supply the Asia-Pacific region, was also shelved indefinitely after the Gazprom management prioritized the development of the Power of Siberia gas pipeline project to China. However, its recent initiative, Baltic LNG, might be just the thing Gazprom needed to kickstart its LNG portfolio on the Western front. The clock is ticking, too, as the emergence of a powerful Russian rival, and the general surge in LNG facilities, might sideline Gazprom from a market which it is still yet to conquer. Bolstered by palpable […]

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