Russia Could Double Oil Supply to China
From Market Watch
Russia’s Rosneft could possibly double oil supplies to China in exchange for a loan of up to $30 billion and is in talks with state-owned China National Petroleum Corp., Reuters news agency reported Wednesday on its website, citing four unnamed industry sources.
The “strategic line” would be to increase supplies to China which could be a “combination of delivery options,” the report cited one source as saying.
But it would take time to reach a final deal and resolve differences over various delivery options, according to the sources in the report. It would also be a challenge to find the needed oil resources, the report added.
One of the sources said in the report that China would be ready to lend as long as Rosneft agreed to ship more oil via Kazakhstan’s existing pipeline to China.
Rosneft said it wasn’t currently in talks about obtaining a loan from China, but declined comment as to whether it may start negotiations at a later date, while CNPC declined comment, the report said.
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