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An investor pool will be formed by March for the construction of the Kovykta-Irkutsk-EastRussia gas pipeline | Far East






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Until March, a pool of investors will be formed for the construction of the Kovykta-Irkutsk gas pipeline

The government of the Irkutsk region by the end of February will form a pool of investors ready to start construction of a gas pipeline from the Kovykta field to the cities of Sayansk and Irkutsk

The governor of the region Sergei Levchenko told reporters on Tuesday.

“It is proposed to build this Kovykta-Sayansk-Irkutsk pipe not to Gazprom. There are investors. By the end of February, we will try to form a list of investors who are ready to build a pipe and invest in the use of gas, ”he said.

The governor also noted that the authorities "respect the position of Gazprom, which in 2014 recognized that the gasification of the region on the basis of the Kovykta gas condensate field is economically inexpedient.

"We are offering Gazprom a project for liquefying gas in the south of the Irkutsk region, where transport is developed. The first calculations say that it can be quite profitable for supplying a large territory, including our neighbors, Buryatia, "the governor specified.

Earlier Levchenko said that Sayanskkhimplast OJSC expressed a desire to start processing Kovykta gas - the speech, according to the governor, was about processing at least 3 billion cubic meters of gas per year, Interfax reports.

Gazprom in 2014 officially recognized that gasification of the south of the Irkutsk region, including Irkutsk and Sayansk, based on the Kovykta gas condensate field is not economically feasible due to high project costs and low gas consumption in the future. Depending on the option, Gazprom’s costs for the gasification of the Irkutsk Region were estimated at between 29 billion and 263 billion rubles (excluding VAT). The volume of gas consumption in the south of the Irkutsk Region is estimated at the same time as 2,3 - 2,9 Billion cubic meters per year.

However, Gazprom acknowledged that gasification of the south of the Irkutsk Region is possible if the state supports Gazprom by lowering duties on LPG (a mixture of propane and butane technical), zeroing the MET rate, lowering the income tax rate to 13,5%.
In addition, the project can be effective if the terms of its implementation coincide with the full-scale development of Kovykta, and the state will undertake the construction of the Kovykta-Sayansk-Irkutsk gas pipeline.