Pipeliners

15 June 2007 - Upstream OnLine - Construction of the first Russia-China oil pipeline is going well and is expected to be completed by next year, experts from the two countries said today. The pipeline will initially supply China 10 million tonnes, or 73.5 million barrels, of oil annually, increasing to 220.5 million barrels a year. The feasibility of three gas pipelines from Russia to China is also being discussed, China National Petroleum Corporation (CNPC) Li Guoyu said. In 2005, Russian President Vladimir Putin said his country would increase Russia's oil exports to Asia to 30% of all its oil exports by 2020. Putin also said that an oil pipeline, starting from the Taishet on the western bank of the Pacific Ocean, would be constructed. The 4000-kilometre-long pipeline would pass through Skovorodino, which is only 70 kilometres from the China-Russia border. A sub-pipeline starting from Skovorodino would extend to Daqing, the most important oil production base in China. "I believe the Russian government will fulfill its commitment and finish the pipeline in due time," Li said. He said the oil China will get from Russia would ease the energy strain. China imported about 1243.2 million barrels of oil last year, but only 110.3 million barrels were from Russia, China Daily reported.