LNG

Persistent disruptions to LNG flows through the Strait of Hormuz bolster Russia’s chances of getting the Power of Siberia II pipeline built. A 2032 startup would give Gazprom a new major outlet, as the EU’s 2027 ban on Russian LNG reshapes Moscow’s long-term export strategy.

Little room would be left for US LNG imports to China if the country were to take the full 50 Bcm/y capacity of the Power of Siberia 2 gas pipeline, analysts suggest. If CNPC was to absorb the full throughput of the proposed gas interconnector, Gazprom could dent 42-45% of Chinese gas imports by 2040.