From gas to gas: South Africa has shown interest in LNG from Russia

Russian companies are increasing energy cooperation with Asian and African countries. Russian Ambassador to South Africa Roman Ambarov told Izvestia that the business circles of the two countries are discussing practical projects, and Pretoria's interest in LNG imports is growing markedly. At the same time, Russia's relevant structures are conducting a dialogue with Indonesia, and the authorities of Bangladesh, Thailand and Sri Lanka have previously stated their readiness to discuss purchases of Russian oil. Experts note that infrastructure and logistics development will be required to launch new supplies. Against this background, Moscow is actively expanding its range of energy partners, including through the easing of sanctions pressure from the United States.

Why does South Africa need Russian gas

The situation in the global energy market is rapidly deteriorating due to the escalation of the conflict in the Middle East and the blocking of the Strait of Hormuz. Israel has attacked Iranian oil and gas fields in South Pars. In response, Tehran attacked the world's largest LNG complex in Qatar, which will particularly affect the EU and East Asian countries - the main consumers of this fuel. The cost of a barrel of Brent crude oil rose to $113, the price of gas jumped by 30%.

Therefore, more and more countries are starting to look for other sources of supply. South Africa has shown interest in expanding energy cooperation with Russia, and contacts between the business circles of the two countries are ongoing, Russian Ambassador to the republic Roman Ambarov told Izvestia.

— Energy cooperation between the business circles of Russia and South Africa is being discussed on an ongoing basis. There remains a high mutual interest in the exchange of experience, the development of joint projects and the expansion of practical cooperation in the energy sector, which is confirmed by the active participation of representatives of the two countries in relevant forums and meetings both here and in South Africa," the diplomat said.

According to him, the republic's interest in importing liquefied natural gas not only persists, but is even increasing due to supply disruptions and rising energy prices.

— This issue is within the competence of the relevant Russian and South African departments. The Embassy, for its part, is ready to provide the necessary political and diplomatic support to strengthen traditionally friendly ties in the energy sector," Ambarov said.

Will Russia be able to start supplying oil and LNG to South Africa

Russian banks, such as the African division of Russia's Gazprombank, are already involved in projects to modernize the country's energy infrastructure. This cooperation may increase in the face of rising energy costs due to the standoff over Iran.

According to Igor Yushkov, a leading analyst at the National Energy Security Fund, there is potential for Russian energy supplies to South Africa. However, for this, Pretoria must build an LNG terminal and a gas pipeline for supplies inland. In addition, the issue of profitability remains — Russian LNG production facilities are located too far from Africa — on Yamal and Sakhalin.

In the case of oil, there are also logistical and infrastructural difficulties. Energy in South Africa is mainly based on coal, which is mined in the country and partly supplied from neighboring countries, including Mozambique, Ivan Loshkarev, associate professor of Political Theory at the MGIMO Department of the Ministry of Foreign Affairs of the Russian Federation, told Izvestia.

— About a quarter of the oil came to South Africa from the United States and Saudi Arabia, but it may well be replaced by supplies from Angola, the Republic of the Congo, and Nigeria. If the refineries in South Africa are not technologically adapted specifically to the Russian type of oil, then the prospects are still low," the expert said.

Meanwhile, there is a potential for developing relations in the nuclear energy sector. In early March, at the Africa Energy Indaba 2026 forum, Rosatom and the South African Atomic Energy Corporation signed a memorandum of understanding. The document is aimed at developing the human resources potential of the industry: it is about creating joint educational programs, professional development, supporting students in technical fields and expanding employment opportunities in the nuclear field, Ambarov said.

Resource phase: Asian countries return to oil purchases from Russia

The easing of US sanctions gives Japan, South Korea and a number of other countries the opportunity to diversify supplies.

Which other countries are ready to supply oil and gas from the Russian Federation

Recently, the authorities of Bangladesh, Thailand and Sri Lanka have also expressed interest in Russian energy resources, primarily oil. In addition, the South Korean government is discussing the possibility of importing Russian crude oil and petroleum products, writes Reuters.

Indonesia may also start purchases, the Minister of Energy and Mineral Resources of the Asian country, Bahlil Lahadalia, said earlier. The relevant structures of Russia and Indonesia are discussing issues of energy dialogue in a working manner, the Russian Embassy in Jakarta told Izvestia.

— In the current conditions of the international situation, issues of cooperation in the oil and gas sector objectively belong to the sensitive category and require a balanced and restrained approach. For this reason, the relevant aspects of the Russian-Indonesian energy dialogue are not brought into the public space and are discussed in a working format between relevant structures. The official position of the Indonesian side is that Russian oil supplies to the country are not being carried out," the Russian diplomatic mission said.

Oil purchases are hampered by sanctions against Russian companies, although the United States has previously eased them, so Indonesia can take advantage of the moment. Earlier, Washington issued a 30-day license for the sale of Russian oil and petroleum products loaded on tankers until March 12. India has already used this solution. In addition, the United States announced the indefinite exclusion of German assets of Rosneft from the sanctions lists.

On March 19, the U.S. Treasury Department released a new version of the license for certain transactions with Russian oil. Washington, according to it, prohibits operations involving individuals and structures associated with Iran, North Korea, Cuba, as well as Crimea and the new Russian regions. As originally, the permit applies to oil and petroleum products loaded onto ships as of March 12. Transactions are allowed until April 11.

In order to stabilize prices, Washington has considered easing sanctions against Iranian oil. As stated by the head of the US Treasury, Scott Bessent, this step will be directed "against the Iranians themselves." This is how the Americans plan to reduce oil prices, which will reduce Iran's revenues and enable the United States to continue fighting.

The countries of the Asia-Pacific region were among the main buyers of oil produced in the Middle East. If we do not take into account such large importers as China, India, Japan and Singapore, then the remaining Asia-Pacific countries accounted for more than a quarter of all supplies from Saudi Arabia, Kuwait, the United Arab Emirates and Iraq, Alexander Frolov, Deputy Director General of the Institute of National Energy and editor-in-chief of the InfoTEK portal, told Izvestia in a comment. According to him, Beijing and Tokyo have strategic reserves, while other countries, such as Vietnam and Sri Lanka, need to look for new suppliers.

— The problem with replacing supplies with Russian oil for Sri Lanka or Vietnam is that too much volume is falling out of the global market. Our country can relatively quickly increase production and exports by 200-300 thousand barrels per day. But this will not solve the global problem," the expert noted.

Russia continues to increase its activity in the Asian oil and gas market. Europe is preparing to completely block fuel imports from Russia as early as 2027, but Moscow may withdraw from the European market on its own before that date. Developing cooperation with new partners in Asia will require time and resources for infrastructure construction and logistics. However, the consequence of this will be the diversification of energy exports, which will not focus exclusively on India and China. Russia's position will become even more stable, which is important against the background of increasing pressure from Europe.

Meanwhile, the United States is trying to assemble a coalition to protect shipping in the Strait of Hormuz from Iranian attacks. The United Kingdom, Italy, the Netherlands, France, Germany and Japan expressed their willingness to support efforts to ensure the safe passage of ships through the Strait of Hormuz. However, the statement of these countries does not provide specific measures. Trump discussed the issue of Tokyo's specific participation in the defense of the Strait of Hormuz at the White House with Prime Minister Sanae Takaichi. The American leader expects Japan to "step up" and help the United States protect supplies.