Putin brings energy chiefs to China talks

By Tom Miles

BEIJING (Reuters) – President Vladimir Putin brought
Russia’s top energy chiefs to Beijing on Tuesday for talks with
Chinese leaders who have signaled their frustration at a lack
of progress in boosting Russian oil and gas imports.

Accompanying the Russian leader were Energy Minister Viktor
Khristenko and Resources Minister Yuri Trutnev, as well as
Sergei Bogdanchikov and Alexei Miller, the heads of state oil
firm Rosneft and gas giant Gazprom respectively.

Putin, who made no comment on his arrival at Beijing
airport, has made “energy security” the theme of Russia’s
current presidency of the G8 group of industrialized nations.
He said in November that diversifying energy export routes was
a top priority, with supplies to Asia of paramount importance.

But China’s top energy planner Zhang Guobao has called the
slow movement in Russian plans for new pipelines “regrettable”
and criticized the Russian government’s unwillingness to
support Chinese efforts to invest in Russia’s energy sector.

China wants Russia firm up a possible 30 million tonne per
year (600,000 barrel per day) oil pipeline as well as a natural
gas supply line to feed its booming economy.

But there were no indications that Putin’s meeting with
Chinese President Hu Jintao will bring any breakthrough.

Officials have said the documents due to be signed include
a possible investment framework for the oil pipeline and a
preliminary deal on a gas pipeline, with no definite dates.

Putin and Hu are also likely to discuss the international
standoff over Iran’s nuclear plans, which Washington and its
allies say are tilted to eventually making atomic weapons.

Moscow and Beijing have deflected Western moves to
authorize U.N. Security Council threats against Iran, and urged
a diplomatic solution.

China has backed a Russian compromise proposal that would
allow Iran to use nuclear fuel enriched in an internationally
monitored plant on Russian soil, easing fears that Tehran could
divert atomic material to weapons development.

Russia is also participating in six party talks, hosted by
China, aimed at ending North Korea’s nuclear ambitions but
which have been repeatedly delayed.

CHINA’S NUCLEAR PROGRAMME

Russia is already a key player in China’s own nuclear power
program, and it may be looking for more deals. Russia’s nuclear
power chief Sergei Kiriyenko, also traveling with Putin, plans
to extend his trip to travel to the Tianwan plant which Russia
is helping to build.

China has said Russia’s continued involvement at Tianwan,
in the eastern province of Jiangsu, depends on the strength of
its work on the first two generating units, which are due to go
on stream toward the end of this year.

China plans to build 27 nuclear plants in the next 15 years
and Russia intends to tender for every project, Itar-Tass news
agency reported after a briefing by Kiriyenko last week.

Russia, which plans 40 new nuclear plants on its own
territory by 2030, also wants to offer re-processing facilities
to developing countries, enabling them to gain nuclear power
while removing material that could be used for making weapons.