Russia Targets No. 1 Spot in Asian Gas Market by 2050 with LNG Push

Russia is set to become the leading exporter of oil and gas to Asia by 2050, Deputy Prime Minister Alexander Novak wrote in his article for Energy Policy Magazine. The article outlines a long-term strategy aimed at fully equipping the sector with a domestic fleet capable of handling hydrocarbon deliveries to Asian markets by that time.

Maintaining export potential – particularly for liquefied natural gas (LNG) – will depend on developing Russia's own LNG service technologies, expanding its fleet of gas carriers, and establishing specialized hubs for transshipment, storage, and trade of LNG products, Alexander Novak wrote.

The strategy also includes expanding the main pipeline system, port facilities, and railway infrastructure. According to the article, these developments are expected to secure Russia's predicted status as the number one gas exporter to Asia.

Previously, Russian President Vladimir Putin spoke at the Future Technologies Forum about efforts to develop domestic nuclear-powered underwater LNG carriers. He admitted having initial doubts about the feasibility of "transporting gas by submarines,” but said that Gazprom and Novatek believe such projects can be both cost-effective and safe for LNG transport.

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There have been widely varying estimates of proven oil reserves in Russia. Most estimates included only Western Siberian reserves, which have been exploited since the 1970s and supply two-thirds of Russian oil. However, there are potentially huge reserves elsewhere. In 2005, the Russian Ministry of Natural Resources estimated that another 4.7 billion barrels (0.75×10^⁹ m³) of oil exist in Eastern Siberia. In July 2013, the Russian Natural Resources Ministry made official estimates of reserves available for the first time. According to Russian Natural Resources Minister Sergey Donskoy, as of 1 January 2012, recoverable reserves of oil in Russia under category ABC1 (equivalent to proven reserves) were 17.8 billion tons and category C2 reserves (equivalent to probable and possible) were 10.9 billion tons.