Mongolia Remains Hopeful for Progress on Russia-China Gas Pipeline

Mongolia is optimistic about the Power of Siberia 2 gas pipeline project, intended to supply 50 billion cubic meters of Russian gas to China, despite geopolitical issues. The project was not included in the recent work program, yet negotiations are ongoing, according to the Mongolian deputy prime minister.

Mongolia maintains a positive outlook regarding the Power of Siberia 2 project, a significant gas pipeline intended to connect Russia and China. This initiative is expected to redirect 50 billion cubic meters of Russian natural gas per year, which was previously supplied to Europe, to China via Mongolian territory. Despite ongoing geopolitical challenges, the Mongolian government remains hopeful for the pipeline’s progression.

The project was notably excluded from Mongolia’s 2024-2028 work program, and there have been limited recent updates from Chinese and Russian officials regarding its status. However, Gantumur Luvsannyam, Mongolia’s first deputy prime minister and economy minister, has assured that negotiations for the Power of Siberia 2 are still ongoing and are reportedly making progress.

Luvsannyam emphasized that the omission from the government’s action plan was not a sign of abandonment, but rather reflects the complex nature of the negotiations, which cannot be unilaterally decided by the Mongolian cabinet. He stated, “The reason why it’s not included in the action programme of the government of Mongolia is because it is an issue that cannot be decided one-sidedly by [the Mongolian cabinet].”

In conclusion, Mongolia remains optimistic about the continuation of the Power of Siberia 2 gas pipeline project amid geopolitical tensions. The pipeline is projected to redirect significant volumes of Russian gas to China, amidst a backdrop of limited updates from major stakeholders. The ongoing negotiations reflect complex diplomatic conditions, highlighting Mongolia’s strategic role in energy supplies to China.

Original Source: www.scmp.com