Oil Pipeline Between Russia and China
The first ever pipe line between Russia and China began working.
The pipe line has the distinction of connecting the largest producer of crude oil on the globe i.e. Russia and the largest user of the same i.e. China. This effectively puts an end to the earlier method of transporting oil to China from Russia through rail.
The pipe line is between Russian, Siberia and Daqing; a Chinese city in northeastern area of the country. It will considerably boost oil export to China from Russia. Russia’s major network of oil pipe lines are situated in western part of Siberia. Till now the network catered to the export needs of Europe.
Some 15 million tones of Russian oil is expected to flow through the pipe line to China per year in the coming twenty years, amounting to 300,000 barrels per day. Russia is producing more oil than Saudi Arabia, the one time largest producer of oil in the world, since 2009. China became the largest consumer of oil in the world, overthrowing the United States only last year.
The project cost amounts nearly to 16 billion U S dollars, out of which partly is met by Chinese loans. Yao Wei, general manager of the Petro China pipe line branch expressed hope that the opening of the China Russia crude oil pipe line will begin a new era in energy cooperation between the two countries. He inaugurated the pipe line by switching open the flow of oil. The Russian Prime Minister, Vladimir Putin said that the pipe line will be instrumental in diversifying oil exports.
Short URL: http://www.reporterslive.com/?p=3047
Posted by Anshu.Dubey
on Jan 3 2011. Filed under Breaking News.
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