2.19 AM Tuesday, 5 March 2024
  • City Fajr Shuruq Duhr Asr Magrib Isha
  • Dubai 05:21 06:34 12:33 15:53 18:26 19:40
05 March 2024

Russia and China sign $25 billion energy deal

Russia and China have signed a $25 billion energy deal in Beijing. Russia’s state pipeline monopoly Transneft said on Tuesday that the pact will see China secure oil supplies from Russia for the next 20 years in return for loans.

As part of the broad energy supply deal, China will lend $15 billion to Rosneft, Russia’s state-owned oil major, and $10 billion to Transneft. The deal will be a vital boost for energy companies as they struggle to raise capital amid straitened lending conditions and plunging oil prices.

In return, Russia is promising to guarantee an annual oil supply of 15 million tons (300,000 barrels per day) for 20 years to its energy-hungry neighbour.

Igor Dyomin, Transneft’s press spokesman, is confirming the outline of the deal.