Page 83 - RusRPTAug19

after negotiations with the Crown Prince of Saudi Arabia Mohammad Bin Salman on the sidelines of the G20 summit in Osaka, Japan. Russia has committed to prolong the deal by either six of nine months, according to Putin. Russia would have to keep cutting its output by 230,000 barrels daily.
Nord Stream 2 AG, the operator of Nord Stream 2 pipeline of Russian gas giant Gazprom, pulled the permit request to build the pipeline in Danish territorial waters from the Denmark Energy Agency (DEA). The permit has been pending for over two years, and opposition from Denmark has remained the last obstacle to completing the pipeline's maritime route. Instead, Nord Stream 2 will now be built in the Danish Special Economic zone, in which the DEA has no authority to ban the pipeline.
Austria’s OMV invested €44mn euros in construction of the Russian gas pipeline Nord Stream 2 in April–June, the company said in a report on Wednesday. In January–June, financing of the project by the company reached €88mn. In 2018, OMV invested €275mn. The Nord Stream-2 project envisages construction of two lines of a natural gas pipeline with an annual capacity of up to 55bn cubic meters, running from the Russian shore to Germany under the Baltic Sea. Gazprom is implementing the project together with Germany’s E.ON and BASF, Royal Dutch Shell, OMV, and France’s Engie. The length of the pipeline’s route exceeds 1,200 kilometers
Russian government wants to increase state support for using natural gas as a motor fuel, according to Russian First Deputy Prime Minister and Finance Minister Anton Siluanov. The state is proposing to increase the current support from RUB2.8bn to RUB8.8bn in 2019 and start investing RUB10bn annually in the segment in 2020-2024, making a total support of RUB58.8bn ($0.93bn), Vedomosti daily reported on June 28 citing Siluanov. Russia is world's largest producer of natural gas and about 50% of its electric energy is generated at gas-powered plants. The Ministry of Energy is reportedly developing a roadmap for cooperation between Russia's largest gas producers Gazprom, Novatek, and Rosneft, the oil major, eyeing also RUB500bn of private investment with over 10-fold multiplier. The main aim is to push cargo and city passenger transport to switch to gas, as those two categories consume about 40% of motor fuel in Russia. Currently gas motor fuel penetration is estimated at 0.1%-0.3% and could rise to 1% by 2025.
83 RUSSIA Country Report August 2019 www.intellinews.com