To: TobagoJack who wrote (54287 ) 10/15/2004 9:42:54 PM From: TobagoJack Read Replies (2) | Respond to of 74559 Putin team hints Japan will get oil pipeline china.scmp.com Saturday, October 16, 2004 REUTERS and AGENCE FRANCE-PRESSE in Beijing Russian President Vladimir Putin met several top Chinese leaders in Beijing yesterday, winding up two days of official talks that were rich in symbolism but left unanswered many key questions about energy supplies to China. Beijing is pushing hard for construction of an oil pipeline from western Siberia to Daqing in China's northeast, but advisers travelling with Mr Putin hinted strongly that a rival route backed by Japan would be chosen for the pipeline. The head of Mr Putin's team of economic experts, Arkadi Dvorkovich, said laying a pipeline to China was not at the top of the Russian agenda. "It is important that the pipeline runs close to the Chinese border," he said, referring to plans to run a pipeline to Nakhodka on Russia's Pacific coast. "I do not know whether there will be a link to China. There is an option that the Chinese pick up the oil by rail." Asked whether all 30 million tonnes a year promised to China could be delivered by rail, he said: "Yes, it is possible." Valery Okulov, head of the Russia-China Business Council transport committee, also said rail might be a better option. "China insists on building an oil pipeline, but both sides should look more closely at the possibility of shipments by rail," Mr Okulov said. Mr Putin's largely ceremonial meetings with National People's Congress Chairman Wu Bangguo and Premier Wen Jiabao yesterday followed extended talks on Thursday with President Hu Jintao , which were crowned by the signing of 13 documents including a tough, common position against terrorism and a border demarcation agreement. The Russian leader was to fly later to the western city of Xian , where he was to meet leaders of northwestern provinces to discuss prospects for cross-border co-operation. Despite the broad agreements reached between the Chinese and Russian leaders, no decision on building the pipeline to refineries in Daqing appears to have been made. The Russia-China Business Council, in which Beijing has a major say, yesterday urged Mr Putin to give the project the go-ahead. "China is a country that lacks energy resources and we are very interested in the construction of the pipeline to Daqing," said the co-chairman of the newly established council, Hu Wenmin. "With the good atmosphere created by the visit of President Vladimir Putin, we made a gesture on the issues concerning the border and are awaiting a reciprocal friendly gesture [on the delivery of the oil]." Russia has said building a pipeline to the Pacific coast to allow shipments to countries in the Asia-Pacific region would increase the number of buyers for its oil.