China to get oil from Russia

From AFP: “The Russian state-owned company Rosneft, new owner of the main production subsidiary of the Yukos company, at the weekend announced a contract to supply China with 50 million tonnes of by 2010.

Rosneft vice-president Yury Matveyev announced signature of the deal in the Siberian city of Irkutsk, Itar-Tass news agency reported. He said deliveries would start on February 1 and reach 4 million tonnes next year. Yukos, once ’s largest oil exporter, is being dismantled by the government to pay off a $27 billion tax bill ” more than 10 times its market capitalisation.”

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