Xi seeks to strengthen energy ties with Russia

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BEIJING — China stands ready to forge a closer partnership with Russia on energy issues to ensure global energy security, President Xi Jinping said Tuesday, as the G7 group of nations prepares to impose new measures on Russia’s oil exports.

State broadcaster CCTV reported Xi’s comments, in a message to the fourth China-Russia energy forum.

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« China is willing to work with Russia to forge a closer energy partnership, promote the development of clean and green energy, and jointly maintain international energy security and the stability of industry supply chains, » he said. said Xi, according to the report.

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The business meeting of the two trading partners comes amid preparations for a G7 price cap to be imposed from December 5 on Russian oil, in a bid to limit Moscow’s ability to finance its invasion of the Ukraine.

Russia’s energy exports to China have increased in value by 64% this year and by 10% in volume, according to Russian Deputy Prime Minister Alexander Novak, and Moscow has become the fourth largest trading center for the yuan in the world. world as Kremlin pushes for more ties with Asia amid Western sanctions.

Russian-Sino bilateral trade is expected to reach $180 billion to $190 billion this year, Igor Sechin, chief executive of Russia’s top oil producer Rosneft, said at the same forum. His company supplies around 7% of China’s oil needs.

The Rosneft-led Vostok Oil project, which combines oilfields already in production and those yet to come on stream later this decade, « provides secure and guaranteed long-term energy supply to growing Asian economies, » Sechin said, which should help avoid high price volatility.

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In response to a G7 proposal to cap Russian oil prices, the Kremlin has promised to redirect supplies to countries that do not support the idea, with China and India increasing their oil purchases from Moscow.

On Tuesday, Sechin said Chinese investors would be welcome to join the Northern Sea Route, or the Arctic Sea Route that Moscow is touting as an alternative to the Suez Canal, as Russia wants China to recognize its certificates. insurance for maritime transport.

Russia presented the proposal « to recognize by the Chinese side the certificates of insurance of Russian companies that provide maritime transport, as well as certificates of reinsurance of risks of maritime transport, documents guaranteeing the financial coverage of risks », said Deputy Transport Minister Alexander Poshivai. as the RIA news agency said.

Russia wants to increase gas supplies from China and is discussing a possible “gas union” with Kazakhstan and Uzbekistan to support shipments between the three countries and to other energy buyers.

It would also welcome Chinese partners in the vast Ust-Luga energy project on the Baltic Sea, and sees potential in exporting liquefied natural gas to China from the port, officials said. (Reporting by Dominique Patton; Editing by Clarence Fernandez and Bernadette Baum)