The pompously presented project of the gas pipeline Power of Siberia within the framework of Russia's active development of cooperation with the Eastern countries has remained just a loud statement. As soon as the West threatened Russia with the first sanctions, the Kremlin decided to buddy up with China. However, even then most experts called this friendship forced and one-sided.
The Chinese authorities participated in various joint projects on very favorable terms and received huge territories in the indefinite lease. In return, the Russian government received a chance to boast on TV about the fruitful cooperation of the two friendly nations. However, when it comes to implementing these projects, China is not in a hurry to invest real money. Since China acquired the status of a desired buyer, it received many profitable offers, including participation in oil and gas projects alternative to the Power of Siberia. One of such proposals was the development of the LPG treatment plant in Alaska. So far, the US and China signed only a preliminary agreement, as the countries have not yet agreed upon all terms. "There are more steps before a final investment decision is reached, but having the largest LPG buyer in the world participating in this project means the Alaska LNG project has favorable market engagement at the highest level,” Governor of Alaska Bill Walker said. “This agreement has all five necessary signatories—the buyer, the lender, the investor, the developer and the state."
In his turn, Gazprom CEO Alexey Miller warned China about a possible gas shortage. According to Miller, China is at risk of encountering a gas deficit because of a sharp increase in consumption. So, it's too early to call the new project in Alaska a real alternative to the Force of Siberia.
