A major gas pipeline deal between Russia and China supposedly stalled over what Moscow considers as Beijing's "unreasonable demands on price and supply levels," the Financial Times reported on Sunday, citing three sources familiar with the matter.
The Power of Siberia 2 pipeline would carry 50 billion cubic meters of natural gas a year from the Yamal region in northern Russia to China, however, the project allegedly ran aground after China asked to pay close to Russia’s heavily subsidized domestic prices and would only pledge to purchase a small part of the pipeline’s planned annual capacity, the news agency reported, citing two people familiar with the matter.
During their talks in Beijing, the pipeline deal was reportedly one of the main requests Russian President Vladimir Putin made to Chinese President Xi Jinping.
