Russian-Chinese gas deal not to affect EU supplies: IEA

The recently announced 400 billion-dollar gas deal between Russia and China will not affect gas deliveries to the EU, the International Energy Agency (IEA) said Thursday.

"The gas that has been determined for export to China would have never come to Europe," IEA Head of Gas, Coal and Power Market Division Laszlo Varro stated through press release at a meeting of Austrian electricity and natural gas regular E-Control, APA reported.

The gas destined for China is "completely new," Varro said, and the gas to be delivered to Europe would remain untouched. Additionally, Russia will continue to be Europe's largest supplier of gas.

Varro said the huge deal between Russia and China that will run for 30 years is also of benefit to Europe competitively as it means China will purchase less gas on the spot market leaving more available for Europe.

E-Control Executive Director Walter Boltz said Austria is prepared for any potential reductions in gas deliveries, with 56 percent of its gas currently coming from Russia.

The entire supply passes through the Ukraine, and with Russian gas giant Gazprom's recent announcement that gas deliveries would soon only be made to the Ukraine if pre-paid, Boltz believed the deliveries to the EU could be reduced.

He added that Gazprom should honor its delivery commitments to its contract partners in Europe, and should Ukraine no longer a viable route, an alternative should be found.