Over 1 million pilgrims benefit from golf cart service at Grand Mosque during Ramadan    Visitors welcomed with Eid initiative at Thee Ain Heritage Village in Al-Baha    Tebuk emir reviews rain response in Tayma    Saudi Arabia considers rent cap as part of major real estate reforms    Messi's bodyguard banned from touchline at Inter Miami games    Screen time in bed linked to insomnia, study finds    Le Pen vows to appeal political ban, calls verdict a 'denial of democracy'    Death toll from Myanmar earthquake rises to 2,719 as rescue efforts continue    Russia, Ukraine trade blame over new energy strikes    Putin orders Russia's largest military call-up in over a decade    Albania hosts MWL chief for Eid sermon at largest mosque in the Balkans    Haramain High-Speed Railway transports over 1.2 million passengers during Ramadan    Saudi Transport Authority says passengers can ride for free if taxi meters are off    Ministry of Education forms 425 community partnerships with SR653 million impact    Mexico bans junk food in schools to fight childhood obesity epidemic    Sweet sales surge ahead of Eid as Saudi chocolate imports top 123 million kg in 2024    Saudi creatives shine at Jeddah's Fawanees Nights with art, fashion, and storytelling    T1 CEO confirms Gumayusi's return for LCK Spring after lineup shakeup    100 Thieves claim Marvel Rivals Invitational NA crown as 2025 scene heats up    Bollywood actress vindicated over boyfriend's death after media hounding    Saudi Arabia hold Japan to goalless draw in Saitama to stay in World Cup hunt    Grand Mufti rules against posting prayers and preaching in mosques on social media    King Salman prays for peace and stability for Palestinians in Ramadan message King reaffirms Saudi Arabia's commitment to serving the Two Holy Mosques and pilgrims    Bollywood star Saif Ali Khan 'out of danger' after attack at home in Mumbai    Exotic Taif Roses Simulation Performed at Taif Rose Festival    Asian shares mixed Tuesday    Weather Forecast for Tuesday    Saudi Tourism Authority Participates in Arabian Travel Market Exhibition in Dubai    Minister of Industry Announces 50 Investment Opportunities Worth over SAR 96 Billion in Machinery, Equipment Sector    HRH Crown Prince Offers Condolences to Crown Prince of Kuwait on Death of Sheikh Fawaz Salman Abdullah Al-Ali Al-Malek Al-Sabah    HRH Crown Prince Congratulates Santiago Peña on Winning Presidential Election in Paraguay    SDAIA Launches 1st Phase of 'Elevate Program' to Train 1,000 Women on Data, AI    41 Saudi Citizens and 171 Others from Brotherly and Friendly Countries Arrive in Saudi Arabia from Sudan    Saudi Arabia Hosts 1st Meeting of Arab Authorities Controlling Medicines    General Directorate of Narcotics Control Foils Attempt to Smuggle over 5 Million Amphetamine Pills    NAVI Javelins Crowned as Champions of Women's Counter-Strike: Global Offensive (CS:GO) Competitions    Saudi Karate Team Wins Four Medals in World Youth League Championship    Third Edition of FIFA Forward Program Kicks off in Riyadh    Evacuated from Sudan, 187 Nationals from Several Countries Arrive in Jeddah    SPA Documents Thajjud Prayer at Prophet's Mosque in Madinah    SFDA Recommends to Test Blood Sugar at Home Two or Three Hours after Meals    SFDA Offers Various Recommendations for Safe Food Frying    SFDA Provides Five Tips for Using Home Blood Pressure Monitor    SFDA: Instant Soup Contains Large Amounts of Salt    Mawani: New shipping service to connect Jubail Commercial Port to 11 global ports    Custodian of the Two Holy Mosques Delivers Speech to Pilgrims, Citizens, Residents and Muslims around the World    Sheikh Al-Issa in Arafah's Sermon: Allaah Blessed You by Making It Easy for You to Carry out This Obligation. Thus, Ensure Following the Guidance of Your Prophet    Custodian of the Two Holy Mosques addresses citizens and all Muslims on the occasion of the Holy month of Ramadan    







Thank you for reporting!
This image will be automatically disabled when it gets reported by several people.



Putin: Russia, China, set gas price formula
Published in Saudi Press Agency on 14 - 10 - 2009

Russia and China have reached an
understanding on a pricing for prospective Russian gas
deliveries to China, AP cited Russian Prime Minister Vladimir Putin as saying today.
Russia's Gazprom and China National Petroleum Corp. agreed
to peg the gas price to the price of oil on Asian markets,
Putin told reporters as he wrapped up a visit to Beijing.
Gazprom and CNPC signed a framework agreement Tuesday that
calls for the supply of about 2.4 trillion cubic feet (70
billion cubic meters) of gas a year, but no price was set
at the time. Gazprom has been pushing for the same high,
market-based prices it charges its customers in Europe.
China bargained hard for a much lower price.
Putin said Wednesday that some details still need to be
negotiated, but that «the price formula issue has been
resolved in principle.» He said an agreement was reached
to peg the price to an «Asian oil basket.»
Russia's cash-strapped energy companies need Chinese
funding, while Beijing is eager for Russian energy to feed
its growing economy. The global economic crisis and
changing market conditions have further spurred cooperation
as lower demand from Europe has pushed Russia to diversify
markets for its oil and gas.
Putin said that one supply route from the gas fields of
western Siberia could be put in operation before 2015 and
another route, which would require more work, could be
launched later.
Putin said there is no immediate need for Gazprom to
attract Chinese loans for construction of the required
facilities. He said the western route would not require
substantial investment, as pipelines are already in place
in the region and would only need links extending to China.
«Gazprom has sufficient resources and can do it itself,»
Putin said.
He suggested Chinese money might be needed later to help
build facilities in untapped eastern Siberia.
As Russia seeks to diversify gas exports, Putin said it
has enough gas to send supplies to both Europe and China,
citing what he called «colossal» reserves in Siberia.
In addition to the framework agreement on gas supplies,
Russia and China signed agreements worth $3.5 billion
Tuesday.
Russia has close ties with China, and Putin said his
relationship with its leaders helped seal commercial deals,
but that talks have been «very tough.»
«The Chinese are very strong negotiators. We have to
argue until we lose our voices _ up to the last second,»
Putin said. «But we will reach agreement in the end,
because mutual national interest lie at the foundation of
our relations.»


Clic here to read the story from its source.