Debate - Opinion in English, Russia and Baltic States

Search for article or name

Back to Toni Schönfelders homepage

Toni Schönfelder A lifetime of innovation

Web library-Bookmarks, My favorites

Debate - Opinion in English
Russia and Baltic States

Tillbaka till Tonis hemsida

Mina favoritlänkar, kolla in

Debattartiklar Ryssland

TaxFree handelns vara och icke vara

Tillägnad bussbranschen av Toni Schönfelder oberoende och fri debattör

Debatt artiklar av Harald Rosén (Det gäller flyg)

Artiklar som du bara måste läsa,Vakna upp i Sverige!

Toni Schönfelder
A lifetime of innovation

Verschiedenes in Deutsch

Toni Schönfelder
A lifetime of innovation

Actualizing the Alliance: Russia and China Move Toward a Pipeline Deal
0056 GMT, 000321

Russian Fuel and Energy Minister Viktor Kalyuzhny led a Russian delegation to Beijing March 20 to discuss future Chinese-Russian energy cooperation. Representatives of seven Russian oil firms are participating in the meetings. Preliminary discussions indicate that such cooperation, while expensive and long-term, is feasible. Currently the Russian oil firm Yukos only has contracts to supply China with approximately 10 million barrels of crude over the next two years. But these small-scale links could soon balloon with two major petroleum projects in the works.

Of the Russian pipeline" TARGET="_new">">pipeline projects in progress, these new proposals would be among the largest – and most politically significant.
Pipeline Type Maximum Capacity Distance Cost Projected Completion
Tomsk – Beijing (or Daquing) Oil 400,000- 600,000 bpd 2400 km $1.7-2 billion* 2005
Kovykta (Irkutsk) – Lianyunggang Gas 30-35 bcm 3700 km

$4 billion**


Bcm = billion cubic meters per year
Bpd = barrels per day
*   Russia will provide $700 million of the cost of construction.
**  The original price for this project was $8-10 billion, but that included underwater links to South Korea and Japan. It is now doubtful those links will be built.

Such a multi-billion dollar deal would help cement a" TARGET="_new">">a growing Chinese-Russian partnership and reduce the effects of a continued Chinese-Russian" TARGET="_new">">Chinese-Russian rivalry. For Russia, these new pipelines would boost decaying Siberian economies.

The Tomsk-Beijing route would also undercut a competing proposal, a pipeline from western Kazakstan to Xinjiang, China. While having a similar capacity, this Kazak-Chinese pipeline is a much more ambitious – and at $3.5 billion, more expensive – project. Russia’s undercutting of the Kazak line serves to not only strengthen the Russian monopoly over export routes from the former Soviet Union, but ensures that the available funding is exclusively used for Russian projects. This leaves cash-starved Kazakstan exactly where Moscow wants it – totally dependent upon Russia for all of its significant export routes.

For China, the new lines would provide a secure land route for petroleum imports. Currently, China’s energy imports are shipped by sea and, if a conflict erupted, would be vulnerable to disruption. The pipelines would also secure a new supply to satisfy China’s growing" TARGET="_new">">growing energy needs. Beijing currently imports approximately 800,000 bpd, according to the U.S. Energy Intelligence Agency. The Tomsk-Beijing pipeline route alone would cover more than half of this amount." width=180>" width=180>

Neither of these deals is likely to be signed during the Beijing meetings; that should happen when acting Russian President Vladimir Putin makes his long-awaited trip to China after his election on March 26. Furthermore, Chinese and Russian negotiators have yet to nail down all of the details. China would prefer that the pipelines skirt around Mongolia in order to prevent third countries from levying transit fees or exercising control over China’s energy supplies. Russian suppliers are unsure if the Kovykta field alone will be able to supply the requisite amount of gas for the Irkutsk-Lianyunggang line.

  But the economics – and politics – of the deal indicate it will be sealed. Chinese-Russian cooperation – at least on the energy front – is moving from the ephemeral to the concrete.

copyright." TARGET="_new">">


Advertising about Spain
All kind of information about Spain in my own web page

Fair use notice

The Toni Schönfelder Newsletter and website contains copyrighted material the use of which has not always been specifically authorised by the copyright owner. The material is being made available for purposes of education and discussion in order to better understand the complex nature of corruption in today's world. I believe this constitutes a "fair use" of any such copyrighted material as provided for in relevant national laws.

The material is distributed without profit to those who have expressed an interest in receiving the included information for research and educational purposes. If you wish to use copyrighted material from this site for purposes of your own that go beyond "fair use", you must obtain permission from the copyright owner. Toni Schönfelder cannot guarantee that the information contained in the Corruption News service is complete and correct or be liable for any loss incurred as a result of its use. Nor can Toni Schönfelder be responsible for any subsequent use of the material.

Denna sida är producerad av Toni Schönfelder. Avsändaren har inget ansvar för innehållet i sidor som är länkade -- allt material som finns i egen producerade sidorna får användas fritt och utan kostnad.

Esta página ha sido realizada por el Sr. D. Toni Schönfelder.Los realizadores de la página no se hacen responsables del contenido de las páginas enlazadas a la presente. Toda la información existente en las páginas de realización propia pueden ser utilizadas libremente y sin ningún tipo de coste.

This page has been produced by Mr Toni Schönfelder. The sender does not take any responsibility for the contents of the linked pages. The whole material in the own produced page can be used free of charge.