Russia's lower house of parliament, the State Duma, is gearing up to pass a pivotal bill in October that would officially authorize the export of liquefied natural gas (LNG) from subsoil areas within the Arctic region situated north of the 67th parallel north, State Duma Energy Committee chairman Pavel Zavalny said Wednesday during a session of the Far Eastern Energy Forum.

The forthcoming legislation, which seeks to amend Articles 2 and 3 of the federal law On Gas Exports, will bestow exclusive export rights for LNG from onshore subsoil regions, either wholly or partially located north of the 67th parallel north.

Zavalny affirmed that this government-backed bill is currently in preparation for its second reading and is on track for approval in the third reading slated for October.

This legislative initiative follows a significant development earlier this year when, in May, the State Duma passed the initial reading of a bill that laid the groundwork for LNG exports to users of onshore subsoil areas located north of the 67th parallel north.

The legislation specifically pertains to gas fields located within the Arctic regions of the Krasnoyarsk Territory, the Nenets Autonomous Area, and the Yamalo-Nenets Autonomous Area. Notably, the bill mandates that the state holds a stake of over 50% in the authorized capital of such subsoil consumers.

The scope of this initiative extends to 36 fields owned by the Russian oil giant Rosneft, as confirmed by Russian Deputy Minister Anastasia Bondarenko during a State Duma Energy Committee meeting in April.

Russian energy giant Gazprom confirmed earlier in September that it had made the first delivery of LNG to China via the Arctic Northern Sea Route.

Russian authorities hope the route will help increase oil and gas deliveries to Asia when Moscow's traditional European clients are ramping down their energy dependence on Russia following the war in Ukraine.

"Gazprom has for the first time delivered its LNG production along the Northern Sea Route," the company said in a statement.

The Arctic route cuts down the duration of shipments by more than a week, compared with using the Suez Canal in Egypt.

Gazprom indicated that LNG carrier Velikiy Novgorod, which left the LNG terminal at Portovaya outside the western city of St. Petersburg on August 14, finished discharging its cargo Friday at the northeastern Chinese port of Tangshan in Hebei province.

Private group Novatek, Russia's number two natural gas producer behind Gazprom, used the same route to deliver to China in 2018.

The route "allows a substantial reduction in the time it takes to make LNG deliveries to Asia-Pacific countries," Gazprom explained.

Despite G7 countries imposing anti-Russia sanctions over the Ukraine war, Russian crude oil supplies saw a 50% increase this spring, the Financial Times highlighted, citing data from analytics company Kpler.

Last December, the European Union, G7 nations, and Australia set a price cap of $60 per barrel on Russian oil. Nonetheless, Russia's oil revenues were expected to rise due to continuous crude price hikes and a decrease in discounts on its oil, according to the FT report, referencing estimates from the Kyiv School of Economics (KSE).

The news website highlighted that in August, nearly three-quarters of seaborne Russian crude flows took place without Western insurance.

Russia has adjusted its seaborne diesel and gasoil exports, and a recent temporary ban on gasoline and diesel exports to most nations is likely to tighten supplies further.