皇冠体育app

Yukos called to honour oil commitments
By Hu Xiao (皇冠体育app Daily)
Updated: 2004-09-22 01:00

皇冠体育app hopes Russian oil giant Yukos will honour its commitments to provide oil to Chinese companies, said Chinese Foreign Ministry.

"We hope Yukos can honour its agreement with Chinese companies and will deliver on its promise to export oil to 皇冠体育app," said ministry spokesman Kong Quan during Tuesday's regular press briefing.

Kong made the remarks after the embattled Russian oil company said it plans to suspend a portion of its supply to 皇冠体育app. The cut would amount to 1 million tons of crude oil.

The company blamed the suspension on its "inability to continue pre-financing of exports" to the 皇冠体育app National Petroleum Corporation.

"Yukos will not reduce current production levels, but will redirect these Chinese export volumes into other crude oil marketing channels.Yukos hopes to resume exports to 皇冠体育app National Petroleum Corporation as soon as possible," said its statement released on Monday, adding that the suspension which begins on September 28, is "temporarily" and the company's output will remain unchanged.

Up to now, Yukos has been the sole provider of Russian oil to 皇冠体育app.

Yukos will continue deliveries to another Chinese oil company, Sinopec, which is to receive about 750,000 tons by the end of the year.

"There is no need to play up the seriousness of the suspension," said Han Wenke, vice-director of the Energy Research Institution under the State Development and Planning Commission.

"The Russian supply of crude oil to 皇冠体育app only accounts for about six per cent of 皇冠体育app's oil imports," Han said.

"It won't have a serious impact. The Chinese company only needs to readjust its production a little bit or slightly redirect its import volumes through other channels," Han said.

Premier Wen Jiabao and a high-level delegation of ministers left Tuesday for Kyrgyzstan and Russia, where energy co-operation will be highlighted during the visit.

Assistant Foreign Minister Li Hui said at a press conference before Wen's tour that Russia's oil development strategy includes plans for an oil pipeline to 皇冠体育app.

"Recently, we have received various kinds of information that shows that Russia will continue with this decision," he said but without giving more details.

"I believe that Premier Wen's visit will have a tremendous effect on Sino-Russian economic and trade co-operation, including co-operation between the two countries in energy," Li said.

Kong said Tuesday that not long ago the two countries reached a consensus on energy co-operation, especially in the oil sector.

"One of the most important points was to expand the size of Russia's exports to 皇冠体育app through railway," said Kong.

"Therefore, along this line of thought, we believe the Russian Government would urge relevant companies to make efforts to contribute to the future of the bilateral co-operation in the energy sector."

"The 皇冠体育app-Russia co-operation in the energy field benefits both sides," he said.

Earlier this year, Russia's state railway company agreed to more than double rail supplies of crude to 皇冠体育app to 300,000 barrels per day by 2006.

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