Energy industry

Gazprom still believes shale gas is an unprofitable project

Газпром. Фото: пресс-служба Газпром

“Works in the field of gas shale are inappropriate” – such conclusion made the participants of the meeting at “Gazprom” on October 18, 2016, so says the press release of the company. “In the medium and long term, shale gas development outside North America will be limited to a small number of countries, the United States will remain the world’s largest producer,” announces the statement of the press service of the company.

Despite the fact that the company knows of non-profitable extraction of such gas, and even the dangers of such technology to the environment (mainly it is engaged in natural gas and LNG liquefied natural gas on the basis of own technology), Gazprom monitors the trends of the global market of shale gas and liquefied natural gas (LNG) for risk assessment.

The global production of shale gas has negative dynamics. Main producer is the USA, 4% of the gas is produced in Canada, some quantities are gotten in the framework of international projects in China. LNG from the US is not a rival pipeline from Gazprom, the main market is American partners – Latin America.

The meeting participants have agreed that the company should increase the volume of liquefied gas in the portfolio, and bigger and wider export it (currently projected for that third line “Sakhalin-2” and the Baltic LNG).

Sources: Gazprom, Gazprom