CNPC to invest $700m in Russia

CNPC to invest $700m in Russia

SINGAPORE: China National Petroleum Corp. will invest about US$700 million in a proposed $2 billion Sino-Russian pipeline project expected to be operational by 2005, official Chinese media reported on Tuesday.

The 2,400 km pipeline will ship Siberian crude to China, with most of the oil set to be used by refineries in the Daqing oil producing region in northeast China, reported Beijing-based industry newsletter China OGP, a unit of Xinhua news agency.

It said Russia's financial commitment to the project was expected to total $1 billion.

A feasibility study has been commissioned and will be completed in July or August, OGP said. It will take another 10 months for both governments to submit approval for the project before construction can begin. -- Reuters