By Tim Seymour
Gazprom (OGZPY.PK) is powering ahead today on news that Chinese energy giant Sinopec is buying its way into a massive Australian shale gas project.
Sinopec (SNP)4.3 million tons of liquefied natural gas a year for the next 20 years from the gigantic coal seam gas project owned by Australia Pacific LNG.
The deal will represent about $90 billion in gas for SNP over its lifetime and will also give the Chinese company a 15% equity stake in the venture.
Meanwhile, Russian gas producer Gazprom (OGZPY.PK)is ready, able and working toward pumping more gas into China’s thirsty new pipelines.
News like this only demonstrate just how crucial to the global economy OGZPY is. But the stock has underperformed in the last year, so has plenty of room left to catch up.