China National Petroleum Corp. (CNPC) has begun construction of the Chinese part of the Eastern Route of Russia-China Gas Pipeline, which will run from the China-Russian border in Heihe of Heilongjiang Province and end at Shanghai, passing through nine provinces and cities including Heilongjiang, Jilin, Inner Mongolia, Liaoning, Hebei, Tianjin, Shandong, Jiangsu, and Shanghai.
A 1,970-mile-long (3,170-kilometer-long) pipeline and auxiliary underground gas storages will be built. An existing 1,118-mile-long (1,800-kilometer-long) pipeline will be included. Construction of the Russian part of the pipeline, which the Russian side named the Power of Siberia, started on Sept. 1, 2014.
On May 21, 2014, a gas purchase and sales contract via the eastern route pipeline was signed between CNPC and Gazprom. Under the 30-year contract, Gazprom will start transmitting gas to China via the Eastern Route from 2018, with gas delivery gradually increasing to 1.34 trillion cubic feet (38 billion cubic meters) per annum.
The imported gas will mainly supply China’s Northeast, Beijing-Tianjin-Hebei area, and the Yangtze River Delta region. The use of 38 Bcm of natural gas instead of coal will cut the emissions of carbon dioxide, sulfur dioxide, and nitrogen oxide by 163.78 million tons, 1.82 million tons, and 0.46 million tons, respectively.