Gazprom hold regular talks with Japan: to explore Japanese companies involvement in Russia's energy development programme
Russia seeks Japan help for Sakhalin-1
Russia is seeking Japan's help in building a pipeline and liquefied natural gas export terminal near Vladivostok for its Sakhalin-1 project.
The construction costs are projected to total about 500 billion yen ($5 billion), and Russian Prime Minister Vladimir Putin, who is scheduled to visit Japan in May, is likely to propose starting full-scale talks, the Nikkei business daily paper reported, citing an unnamed Japanese foreign ministry official.
A senior Japanese trade ministry official said the ministry and Russian gas major Gazprom hold regular talks to explore Japanese companies involvement in Russia's energy development programme, but added that "it is not true that Russia is seeking assistance."
The Nikkei said Japan was considering financing a planned pipeline extension from Khabarovsk to Vladivostok through the state-run Japan Bank for International Cooperation.
Russia plans to buy all of the gas produced from Sakhalin-1 and export most of it to Japan and other countries, the paper said.
Exxon Mobil operates Sakhalin-1 along with Russian state oil company Rosneft , Japan's Itochu and Marubeni , and India's ONGC.
Gazprom last year said it would provide for the development of the Sakhalin-Khabarovsk-Vladivostok gas transport system, focusing first on the Khabarovsk-Vladivostok gas link, which it plans to complete in 2011.
Gazprom has long said it needs the gas produced at Sakahlin-1 to cover domestic needs, while Exxon is planning to export the fuel to China.
The project has been producing oil for several years and reached peak production of 11.2 million tonnes in 2007.
It has been producing gas since 2005 and shipping small volumes to continental Russia. It has signed a deal to supply China with 8 billion cubic metres of gas a year and hopes to start the supplies next decade, reported Reuters.