Russia Signs Several Major Energy Contracts With China

During PresidentVladimir Putin's visit to China , several major contracts were signed between Russian and Chinese companies. As the president said, the contracts were worth "billions of dollars". They include the deal between natural gas monopolyGazpromand Chinese oil and gas major中国石油天然气集团公司, which stipulates gas supplies of 60 billion and 80 billion cubic meters per annum. The deliveries are going to be made from Eastern and Western Siberian deposits.

Two gas pipelines, codenamed "Altai," are envisaged to be built for supplies. As for the participation of Chinese companies in the Russia's oil and gas deposits, major oil concernRosneftis going to be the most probable partner, analysts expect. According to the project, Rosneft would create joint-ventures with several Chinese companies, which later would obtain a stake in the Russian oil company.

In the electric energy sector, a joint declaration was signed betweenRAO UESand its Chinese counterpartSGCCto carry out a feasibility study of a project to export 60 billion kilowatt hours of Russian electric power to China. The preliminary results of the study will be available in six months. Other major contracts include joint usage of railway large cargo cars, a memorandum on cooperation signed betweenTransneftand CNPC, an agreement on Chinese investments in Chechen Republic and several others.