Arab Today, arab today russia china sign \unprecedented\ 270bn oil deal
Last Updated : GMT 03:44:33
Arab Today, arab today
Arab Today, arab today

Vladimir Putin diversifies energy customer base

Russia, China sign \'unprecedented\' $270bn oil deal

Arab Today, arab today

Arab Today, arab today Russia, China sign \'unprecedented\' $270bn oil deal

Vladimir Putin opens the Russia-China oil pipeline in the eastern region of Amur
Saint-Pettersburg - Arab Today

Vladimir Putin opens the Russia-China oil pipeline in the eastern region of Amur Russian oil giant Rosneft and Chinese state firm CNPC signed Friday a $270 billion deal to supply China with oil over 25 years as Russian President Vladimir Putin pushes to diversify the country\'s energy customer base away from Europe.
The agreement between Russia, the world\'s largest energy producer and China, the world\'s largest energy consumer -- one of the biggest deals in the history of world oil industry -- was signed by Rosneft chief executive Igor Sechin and CNPC head Zhou Jiping in the presence of Putin.
\"An estimated value of the contract in current market parameters is absolutely unprecedented -- 270 billion dollars,\" Putin said in a speech to investors at the annual Saint Petersburg International Economic Forum after overseeing the signing of the deal together with visiting Chinese Vice Premier Zhang Gaoli.
Under the deal, the heavily-indebted Rosneft is slated to receive an upfront payment of around $70 billion, Putin said.
Under another deal, CNPC will acquire 20 percent in an Arctic liquified natural gas project in which France\'s Total has 20 percent and Russian independent gas firm Novatek holds the rest.
Putin has made a priority of stabilising Russia\'s sometimes prickly relations with its giant eastern neighbour at a time when its ties with the West are becoming ever more problematic.
Russia wants to diversify its base of energy customers away from crisis-hit Europe and is aware it has not fully exploited the colossal potential of Asian markets, China in particular.
\"Consumption will be growing in China. And in Japan consumption will be growing, too,\" Putin said. By contrast, he added: \"Europe is going through some certain difficulties.\"
obil and Statoil, Putin hailed what he called \"a new era of cooperation\" with Russia\'s strategic partners.
Top Putin ally Sechin told reporters earlier that the deal would involve the delivery of more than 360 million tonnes of oil over 25 years with a total value of $270 billion (204 billion euros).
The initial agreement was reached during a visit to Moscow in March by Chinese President Xi Jinping, his first foreign visit after taking over from Hu Jintao as the country\'s leader.
That agreement pledged to gradually triple the supply of Russian oil to China over the next 25 years from their current level of 15 million tonnes per year. Putin said that under the contract Russia will be sending up to 46 million tonnes of oil to China annually.
The oil in the $270 billion deal would be delivered to China from the existing Eastern Siberia-Pacific Ocean (ESPO) oil pipeline that would pump the oil directly to the Chinese region of Mohe.
\"The European market is stagnating, the structure of demand is changing -- less oil is being bought and more oil products --- so it is not a very promising market,\" said Valery Nesterov, an analyst at Sberbank CIB.
The upfront payment would allow Rosneft, which this year acquired the British-Russian joint venture TNK-BP in a $55 billion deal, to cut its debt, Nesterov added.
\"It\'s a landmark deal,\" added Karen Kostanian, an oil and gas analyst at Bank of America Merrill Lynch in Moscow, noting that the deal would also allow Rosneft to develop new fields in eastern Siberia.
Among a host of other energy agreements signed in Saint Petersburg, CNPC and Russian independent gas producer Novatek signed a deal to send Russian liquified natural gas (LNG) to China.
Under the deal, CNPC will purchase 20 percent in the Russian Arctic project known as the Yamal LNG in which France\'s Total has 20 percent and Novatek holds the rest. The project is scheduled to start producing gas in 2016.
Rosneft also signed agreements with Eni, Exxon and Statoil on LNG supplies.
Putin said tapping into the potential of the Asia-Pacific markets would allow the country to liberalise LNG exports.
Russia\'s state gas giant Gazprom is also working to finalise a potentially huge gas deal with China but a commercial contract has so far proved elusive as talks have become mired in pricing disputes.
\"Rosneft managed to do what Gazprom has not been able to do yet,\" said Kostanian.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today russia china sign \unprecedented\ 270bn oil deal Arab Today, arab today russia china sign \unprecedented\ 270bn oil deal

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today russia china sign \unprecedented\ 270bn oil deal Arab Today, arab today russia china sign \unprecedented\ 270bn oil deal

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today Egypt tourism revival steady but slow

GMT 16:04 2017 Tuesday ,19 September

Egypt tourism revival steady but slow
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today 600,000 children may flee to Bangladesh

GMT 06:49 2017 Monday ,18 September

600,000 children may flee to Bangladesh
Arab Today, arab today Equifax executives step down

GMT 16:16 2017 Saturday ,16 September

Equifax executives step down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today New Zealand opposition looks

GMT 10:35 2017 Thursday ,14 September

New Zealand opposition looks
Arab Today, arab today 5,000 'Dieselgate' deaths in Europe per year

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Five trends at the Frankfurt auto show

GMT 12:04 2017 Monday ,18 September

Five trends at the Frankfurt auto show
Arab Today, arab today Renault-Nissan to launch

GMT 10:44 2017 Saturday ,16 September

Renault-Nissan to launch
Arab Today, arab today Eman Al Assy receives three offers

GMT 06:31 2017 Saturday ,16 September

Eman Al Assy receives three offers
Arab Today, arab today 'Severe' Typhoon Doksuri pounds Vietnam

GMT 15:49 2017 Friday ,15 September

'Severe' Typhoon Doksuri pounds Vietnam

GMT 11:10 2017 Friday ,15 September

Fadl Shaker retreats from surrendering himself

GMT 05:05 2017 Tuesday ,12 September

Pregnant woman's suicide roils China

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 10:25 2017 Thursday ,14 September

Greece fumbled oil spill response

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 04:45 2017 Sunday ,17 September

France's hurricane-hit St Martin

GMT 21:57 2017 Sunday ,17 September

Russia and Iraq restore air travel

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:56 2017 Friday ,15 September

Apple's grand plan in Ireland held up by a forest

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday