• 2 hours Higher Oil Prices Reduce North American Oil Bankruptcies
  • 4 hours Statoil To Boost Exploration Drilling Offshore Norway In 2018
  • 6 hours $1.6 Billion Canadian-US Hydropower Project Approved
  • 7 hours Venezuela Officially In Default
  • 9 hours Iran Prepares To Export LNG To Boost Trade Relations
  • 11 hours Keystone Pipeline Leaks 5,000 Barrels Into Farmland
  • 17 hours Saudi Oil Minister: Markets Will Not Rebalance By March
  • 22 hours Obscure Dutch Firm Wins Venezuelan Oil Block As Debt Tensions Mount
  • 1 day Rosneft Announces Completion Of World’s Longest Well
  • 1 day Ecuador Won’t Ask Exemption From OPEC Oil Production Cuts
  • 1 day Norway’s $1 Trillion Wealth Fund Proposes To Ditch Oil Stocks
  • 1 day Ecuador Seeks To Clear Schlumberger Debt By End-November
  • 1 day Santos Admits It Rejected $7.2B Takeover Bid
  • 2 days U.S. Senate Panel Votes To Open Alaskan Refuge To Drilling
  • 2 days Africa’s Richest Woman Fired From Sonangol
  • 2 days Oil And Gas M&A Deal Appetite Highest Since 2013
  • 2 days Russian Hackers Target British Energy Industry
  • 2 days Venezuela Signs $3.15B Debt Restructuring Deal With Russia
  • 2 days DOJ: Protestors Interfering With Pipeline Construction Will Be Prosecuted
  • 2 days Lower Oil Prices Benefit European Refiners
  • 2 days World’s Biggest Private Equity Firm Raises $1 Billion To Invest In Oil
  • 3 days Oil Prices Tank After API Reports Strong Build In Crude Inventories
  • 3 days Iraq Oil Revenue Not Enough For Sustainable Development
  • 3 days Sudan In Talks With Foreign Oil Firms To Boost Crude Production
  • 3 days Shell: Four Oil Platforms Shut In Gulf Of Mexico After Fire
  • 3 days OPEC To Recruit New Members To Fight Market Imbalance
  • 3 days Green Groups Want Norway’s Arctic Oil Drilling Licenses Canceled
  • 4 days Venezuelan Oil Output Drops To Lowest In 28 Years
  • 4 days Shale Production Rises By 80,000 BPD In Latest EIA Forecasts
  • 4 days GE Considers Selling Baker Hughes Assets
  • 4 days Eni To Address Barents Sea Regulatory Breaches By Dec 11
  • 4 days Saudi Aramco To Invest $300 Billion In Upstream Projects
  • 4 days Aramco To List Shares In Hong Kong ‘For Sure’
  • 4 days BP CEO Sees Venezuela As Oil’s Wildcard
  • 4 days Iran Denies Involvement In Bahrain Oil Pipeline Blast
  • 7 days The Oil Rig Drilling 10 Miles Under The Sea
  • 7 days Baghdad Agrees To Ship Kirkuk Oil To Iran
  • 7 days Another Group Joins Niger Delta Avengers’ Ceasefire Boycott
  • 7 days Italy Looks To Phase Out Coal-Fired Electricity By 2025
  • 7 days Kenya Set To Give Local Communities Greater Share Of Oil Revenues
Tesla’ E-Truck Is A Big Thing For Energy Markets

Tesla’ E-Truck Is A Big Thing For Energy Markets

While skeptics have raised eyebrows…

New Process Makes Ethanol Sustainable

New Process Makes Ethanol Sustainable

A new breakthrough has shown…

China To Take 5% Of Rosneft’s Output In New Deal

China

CEFC China Energy is set to gain up to 260,000 barrels per day of oil supplies from Russia as part of its recent deal with Moscow to invest $9.1 billion in the Russian state oil giant Rosneft, according to a new report by Reuters.

The recurring shipments will mean China will take five percent of Rosneft’s output, which will challenge Western oil traders’ dominance in the Asian markets.

Chinese oil and gas investments have also reached Saudi Arabia, with CEFC offering to purchase a five percent stake in Saudi Aramco.

CEFC will buy a 14 percent stake of Rosneft from the Qatar Investment Authority and Glencore. The two entities acquired a 19.5 percent stake from Rosneft just nine months ago. The resale occurred so soon because Glencore, QIA’s partner in the deal, and the QIA itself looked to reduce debt repayments, according to Rosneft CEO Igor Sechin.

“This deal intensifies the energy relationship between Russia and China. A direct stake in Rosneft will make CEFC China the main driver for the relationship of Rosneft with China, ahead of CNPC, Sinopec and Beijing Gas,” Wood Mackenzie senior analyst Christian Boermel said last month, when the deal was closed. “Rosneft keeps its customers close to its heart – buy a stake, get an oil supply agreement. CEFC China could soon take stakes in Rosneft projects, either in cash-intensive upstream projects, or in the downstream.”

Related: Oil Markets Fear Iraqi Escalation

The plan is for China to integrate its supply chain in order to increase efficiency within its One Belt, One Read economic plan for its Asian allies.

“The current focus is on upstream oil and gas resources, including exploration and production. The next step will be to bring these resources to China and to develop together, with Rosneft, petrochemical production, further extending the supply chain,” a CEFC spokesman said.

By Zainab Calcuttawala for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage

Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News