The Russian Energy Ministry sees the potential for the significant growth of domestic LNG production from 30 mln tonnes at present to 120-140 mln tonnes, Minister Alexander Novak said at the Eastern Economic Forum (EEF) on Thursday.
"If we unveil the available potential, we can progress from current volumes of about 30 mln tonnes of LNG production to the level of 120-140 mln tonnes [per year], capture the niche up to 15-20% of the global market. Since this segment will enjoy sound development, Russia has ample opportunities there in order to secure its market share, monetize reserves, create conditions for development of domestic technologies of gas production, its liquefaction and sales, through the use of the Northern Sea Route and other directions," Novak said.
Development of LNG production is among promising areas in the domestic fuel and energy sector from the standpoint of raising investments, the minister added.
Boosting investments into fuel and energy sector
Application of incentives will make it possible to boost investments into the fuel and energy sector by 40% to almost 7 trillion rubles ($105.7 bln) by 2024, Novak said.
"Speaking in general terms, we believe it will be possible to increase the amount of investments by almost 40% and bring them to nearly 7 trillion rubles ($105.7 bln) by 2024 on account of application of incentivizing measures. This refers to the fuel and energy sector and such segments as oil and gas and power engineering," Novak said.
Investments into the Russian fuel and energy sector amounted to almost 5 trillion rubles ($75.5 bln), the minister said.
"Total investments into the fuel and energy sector were about 5 trillion rubles ($75.5 bln) last year. Approximately 4.2 trillion rubles ($63.4 bln) into the oil and gas segment together with the transport and about 800 bln rubles ($12.1 bln) into the power segment," Novak added.