As part of its bid to diversify its gas exports and decrease reliance on traditional transit countries, Russia will construct more pipeline than any other country in the world over the next few years, says the latest report by natural resources experts GlobalData.
The new report states that the country’s vast pipeline additions will largely focus on finding new markets for its gas exports, while simultaneously bypassing traditional transit countries such as Ukraine, Belarus and Georgia.
During the period 2012-2016, the Eastern European nation will build a massive 14,053-km of pipeline, accounting for 15% of the pipeline length to be constructed globally during this time, and a 3% share of the European total.
The region with the greatest pipeline additions, however, is the Asia-Pacific, thanks to huge projects expected in India and Myanmar, among other countries. India will be responsible for 10,965-km of additions by the end of 2016, which equates to approximately a quarter of the continent’s pipeline construction.
Gas consumption in India is on the rise while production is declining. In response, the country is planning to boost imports and needs to develop its pipeline infrastructure to cope.
Pipeline construction in Myanmar is in no small part due to China’s need to improve its oil and gas import routes. Two of the biggest planned projects in the region are the Myanmar-China oil pipeline and the Myanmar-China gas pipeline. The Myanmar-China gas pipeline has a transportation capacity of 423.60 Bcf and is currently under construction, as is the Myanmar-China oil pipeline, which has a transportation capacity of 158.4 MMbbls.
The Asia Pacific region will introduce a total of 39,597-km of pipeline additions during the period 2012-2016, most of which will be employed to meet the growing demand for natural gas across the continent.