Energy

China-Russia oil pipeline to start running on Oct 31

(Xinhua)
Updated: 2010-06-15 10:28

BEIJING: China National Petroleum Corporation (CNPC), China's largest oil and gas producer, announced Monday a Sino-Russian crude oil pipeline was scheduled to be completed and begin operation by Oct 31 this year.

Construction of the 999-km pipeline project, with 72 kilometers within Russia and 927 kilometers in China, began last year.

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CNPC said welding of the pipeline section in China, or the 927-km Mohe-Daqing trunk, has completed, and the Russian section was also about to be finished soon.

The pipeline starts from east Russia's Skovorodino town in its far-eastern Amur region to end at China's northeastern city of Daqing.

The pipeline project is part of a bilateral loan-for-oil deal reached in February 2009 between the two countries, under which China offers Russia $25 billion of long-term loan and Russia will supply a total of 300 million tons of oil through pipelines to China from 2011 to 2030.