Timeline of China-Russia oil pipeline negotiation

2009-05-19 20:18 BJT

At the end of 2002, the Russia Oil Pipeline Transport Company came up with a new route from Angarsk to Russia's Far East port of Nakhodka to replace the original Angarsk-Daqing line. At about the same time, Japan wanted Russia's oil supplies.

In March 2003, Russia proposed a compromised plan to build a branch to China that connects with the Angarsk-Nakhodka trunk lineand promised to prioritize construction of the China branch.

In October 2003, the China branch line was again frustrated as Yukos' former chief, Mikhail Khodorkovsky, was arrested on charges of tax evasion and fraud.

In March 2004, the Russia Oil Pipeline Transport Company changed the line's starting point to Taishet, which is farther from the Baikal Lake, for environmental reasons. The final Taishet-Nakhodka line emerged.

In April 2006, construction started on the first phase of the pipeline, from Taishet to Skovorodino, and the former Russian President Vladimir Putin pledged construction of the China section would precede that on the rest.

In October 2008, China and Russia signed a package of deals, including a document laying down principles for the construction of the cross-border pipeline, during the visit of Chinese Premier Wen Jiabao to Moscow.

In February 2009, China and Russia signed in Beijing seven agreements on a package of energy cooperation deals, including details worked out for the October agreements on the pipeline.

Under the loan-for-oil deal signed between the two nations, China would offer Russian firms 25 billion U.S. dollars of long-term loans while Russia would supply 300 million tonnes of crude through the pipeline to China from 2011 to 2030.

In April 2009, China and Russia signed inter-government agreements on oil cooperation in Beijing, and earlier agreements on pipeline construction, oil trade and loans became effective upon the signing.

On April 27, 2009, construction was started on a nearly-63-km section in Russia, from Skovorodino to Mohe.

Editor: Du Xiaodan | Source: Xinhua