China and Russia Sign $400 Billion Gas Deal
May 21st, 2014Via: USA Today:
China and Russia signed off on a huge gas deal worth as much as $400 billion Wednesday that heralds a pivot east for Russian business amid ongoing tensions with the West over Ukraine, though few details of the deal were made public.
The 30-year gas-export contract, seen as a move by Russian President Vladimir Putin to aggressively shift the country’s commercial interests east amid mounting sanctions from the United States and Europe, was signed as the Russian leader has enjoyed a warm welcome in China, where the two countries have inked a raft of agreements during his ongoing, two-day visit.
The price China is paying for Russia’s gas was not disclosed but the value of the agreement is thought to be somewhere near $400 billion. The deal, which will see Gazprom gas flow to China from a pipeline in Siberia, was confirmed by China’s state-owned China National Petroleum Corporation.
The eleventh-hour deal represents “good news for both countries,” said Shi Yinhong, an international relations expert at People’s University of China, in Beijing. “The political requirements on both sides are so powerful they can overcome the concerns on price,” he said. “This is a political action by both sides.”
Talks for the deal had been going on for more than a decade and will see Russia export up to 38 billion cubic meters of gas per year, for 30 years, starting in 2018. The export agreement is significant because it will permit Russia to diversify the market for its gas away from Europe, which has threatened sanctions over Russia’s incursion into Ukraine.
USA Denial … days as the number 1 world reserve currency are done
I really like his answer when she questions on US options … bomb and take … lol
Dawn of the Petro Ruble
Published on May 21, 2014
A huge gas deal between Russia and China has finally been signed after a decade of haggling and negotiating. Max Keiser says this means a historic change.
http://youtu.be/XFHT68-nAM4
His knowledge on Western US fracking is also accurate.