New Pipeline Doubles Russian Crude Oil Supply To China | Zero Hedge
Description: Russia quietly doubled its crude oil export capacity to China in the new year when it launched a new pipeline, cementing its position as the number one supplier of crude to its Asian neighbor.

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# New Pipeline Doubles Russian Crude Oil Supply To China

Russia quietly doubled its crude oil export capacity to China in the new year when it launched a new pipeline, cementing its position as the number one supplier of crude to its Asian neighbor.

The extension of the East Siberia-Pacific Ocean, or ESPO, oil pipeline between Russia and China started operating on January 1, doubling the export volumes from 15 to 30 million tons annually, or almost 220 million barrels, Xinhua reported. The agency noted that the extension, which was agreed in 2013, would serve China’s Belt and Road initiative for expanding China’s regional influence in Asia.

The new section of the Eastern Siberia–Pacific Ocean pipeline began operations Monday, Xinhua added. The venture is expected to "deepen energy co-operation between Moscow and Beijing" and serve the Belt and Road Initiative, a major Chinese-led development project across Asia.

Rosneft is the supplier of the crude via the ESPO pipeline, while PetroChina is the buyer. The oil will be processed at three refineries in the Northeast of China. Back in September, Reuters reported, citing refinery sources, that one of these was undergoing a capacity expansion upgrade that cost US$880 million. The upgrade should increase its capacity to 400,000 bpd by the end of this year.

Originating in Skovorodino, Russia, the pipeline stretches to Mohe, the northernmost province of China, before passing through the Inner Mongolia Autonomous Region all the way to Daqing in the northeastern Heilongjiang province. As a result of the second line, Russia’s crude export capacity to China has now doubled from 15 million to 30 million tons, or about 600,000 barrels a day. This significantly boosts Russia’s lead over Angola and Saudi Arabia as Beijing's’s biggest supplier of crude oil. China is currently considered the number one importer of raw petroleum in the world.

Construction on the second line began in August 2016. According to RT, the first pipeline from Mohe to Daqing began operating on January 1, 2011. Some 110 million tons of oil have passed through the first line so far. Another section of the pipeline snakes around China to Russia's Far East, serving the specialized oil seaport of Kozmino.

Almost exactly one year ago, we reported that Russia overtook Saudi Arabia to become China’s biggest oil supplier for 2016. Since then Russia has held the crown of China's biggest supplier for nine consecutive months based on the latest data, released in the last week of December.

In November, Russian crude exports to China totaled 5.12 million tons, or about 1.25 million barrels daily. That was 11% more than in November 2016. At the same time, Saudi imports fell by 7.8% in November, to 1.056 million bpd.

Higher imports have been necessitated not just by growing energy demand in China but also by falling production from mature field, many of them in northeastern China. But Russia is not the only one eating Saudi Arabia’s market share in the world’s top importer: the U.S. has been exporting crude at unprecedented rates. Last year, the average U.S. oil shipments to China stood at 180,000 bpd for January to September alone.

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## Comments

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Sudden Debt Jan 3, 2018 7:03 PM

COOL!!! FUCK YOU SAUDI ARABIA!! WHOEHAHAHAHAHAHA

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yomutti2 Sudden Debt Jan 3, 2018 7:04 PM

Oh good, Russia can earn some of China's pocket change. That's a lot of money for the Russians :)

In reply to COOL!!! FUCK YOU SAUDI… by Sudden Debt

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ACP yomutti2 Jan 3, 2018 7:06 PM

Hmm...it almost seems as though the Paris Climate Accord means absolutely nothing.

In reply to Oh good, Russia can earn… by yomutti2

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svayambhu108 ACP Jan 3, 2018 7:10 PM

Thanks Obama!

In reply to Hmm...it almost seems as… by ACP

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TrajanOptimus svayambhu108 Jan 3, 2018 7:13 PM

So why are we still importing oil from Saudi Arabia when we are selling our local produced oil to China?

Fucking idiotic.

In reply to Thanks Obama! by svayambhu108

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stacking12321 TrajanOptimus Jan 3, 2018 7:18 PM

i fully expect the pipeline will fall prey to "terrorists" in western china or southern russia.

CIA will deny all knowledge.

In reply to So why are we still… by TrajanOptimus

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Gap Admirer stacking12321 Jan 3, 2018 7:38 PM

No doubt this pipeline avoided the sacred grounds of all peoples.

In reply to i fully expect the pipeline… by stacking12321

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trulz4lulz Gap Admirer Jan 4, 2018 2:27 AM

Right through the ancient battle fields of Ghangis Khan I think. Lots of people buried in those parts, even empires it would seem.

In reply to No doubt this pipeline… by Gap Admirer

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FORD_FIESTA stacking12321 Jan 3, 2018 7:38 PM

Send out ten men with 25 pounds of Thermite each, and that pipeline will be down for months......no bombs needed.

In reply to i fully expect the pipeline… by stacking12321

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Idaho potato head FORD_FIESTA Jan 3, 2018 7:50 PM

Sure they can just walk right up sort of like suicide bombers right?

In reply to Send out ten men with 25… by FORD_FIESTA

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FORD_FIESTA Idaho potato head Jan 3, 2018 7:57 PM

You don't know what Thermite is I take it.....

In reply to Sure they can just walk… by Idaho potato head

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BennyBoy FORD_FIESTA Jan 3, 2018 8:09 PM

Deep State's oil backed dollar aint gonna like this.

False flags is gonna be a growth business this year.

In reply to You don't know what Thermite… by FORD_FIESTA

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Idaho potato head FORD_FIESTA Jan 3, 2018 10:06 PM

I know what it is.Apparently you think they can just put salt on the the tails of the Russians and Chinese and just install this shit on their new pipeline all stealth like.

In reply to You don't know what Thermite… by FORD_FIESTA

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Shemp 4 Victory FORD_FIESTA Jan 3, 2018 8:42 PM

> Send out ten men with 25 pounds of Thermite each, and that pipeline will be down for months......no bombs needed.

Apparently iodine deficiency, bottled water from Flint, Michigan, and elevated concentrations of radon lead to advanced strategic thinking.

In reply to Send out ten men with 25… by FORD_FIESTA

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shitshitshit Shemp 4 Victory Jan 4, 2018 6:55 AM

pipelines are often doubled with power and telco lines, so from there permanent monitoring systems and automation could work. Do you really think russia wouldn't look after their precious and leave it in the open to rot?

Moreover, oil exports are deemed a strategic resource. I do not know to which level they are protecting it, but my little finger tells me they put enough staff on physical security along the whole road.

In reply to … by Shemp 4 Victory

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fairmontobsever shitshitshit Jan 4, 2018 10:18 AM

Your username is extremely offensive, especially when deliberately placed next to the most precious symbol of the Russian Orthodox Church.
The Russian Orthodox Church lost 40,000 clergy, more than 100,000 monastics, and 40,000 churches to Communist massacres.
It is a miracle that it still exists, and you are showing cultural-religious hatred by using our sacred symbol with your offensive username.

It is very offensive for you to use the Russian Orthodox Christian cross, no matter what you think of yourself call yourself and your moral standing (reflected in your username). You have nothing to do with Christianity in Russia. Otherwise, I and others will consider that usage(symbol + offensive wording) an actual example of Nazi-like propaganda. Are you going to use other religions' most beloved symbols in your demonic hatred of all things good?

In reply to pipelines are often doubled… by shitshitshit

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ebear FORD_FIESTA Jan 4, 2018 4:36 AM

Watch out for drones...LOL.

In reply to Send out ten men with 25… by FORD_FIESTA

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WFO stacking12321 Jan 3, 2018 9:13 PM

Just because you see a pic of a pipeline above ground doesn't mean it is this pipeline. It could be underground for all I know - didn't specify in the article.

In reply to i fully expect the pipeline… by stacking12321

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fauxhammer TrajanOptimus Jan 3, 2018 7:20 PM

The new Slik Road

In reply to So why are we still… by TrajanOptimus

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svayambhu108 TrajanOptimus Jan 3, 2018 7:21 PM

>So why are we still importing oil from Saudi Arabia when we are selling our local produced oil to China?

>Fucking idiotic.

Nope the fracking stuff has negative ROI and is lower quality that the good KSA stuff.

In reply to So why are we still… by TrajanOptimus

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Ignorance is bliss svayambhu108 Jan 3, 2018 8:40 PM

So..we have to import the good stuff from Saudi, use the energy to frack the shale and and dig up the tar sands. Process the hell out of the poor quality oil and then we sell what we don't use to China?

In reply to >So why are we still… by svayambhu108

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Expat TrajanOptimus Jan 4, 2018 6:36 AM

Try learning about oil and then come back...meanwhile, your comment is idiotic.

In reply to So why are we still… by TrajanOptimus

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Sudden Debt ACP Jan 3, 2018 7:15 PM

they do shit like that every year and over here they don't even show it in the media anymore because everybody knows it's bullshit.

What are these climate accords? Only ways to move the industry to Azia.

Who gives a fuck what America signs or not? It's China who's shitting all over the place.

In reply to Hmm...it almost seems as… by ACP

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MozartIII Sudden Debt Jan 3, 2018 7:52 PM

But the Russians just pipelined some folks...

In reply to they do shit like that every… by Sudden Debt

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philipat ACP Jan 3, 2018 7:30 PM

China is by far the largest consumer of energy and its share will expand. Meanwhile, as Saudi builds its Unicorn Cities in the Desert and International Human Rights Consulting Practices, it is likely to remain (over) dependent on oil exports for the foreseeable future. So rapid erosion of market share in the increasingly largest market is no really a very good thing. Of course, should they agree to sell oil to China in CNY, their share might stabilize. And that should happen very soon, assuming Washington doesn't substitute Iran with Saudi at the top of the MIC target list. But either way it will happen in 2018. Washington will respond in its usual intelligent way by cutting arms sales to Riyadh, whereafter Saudi will commence buying better and cheaper weapons from Uncle Vlad. And of course, the US is still dependent on Saudi oil imports. Karma is a bitch!!

In reply to Hmm...it almost seems as… by ACP

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Conscious Reviver philipat Jan 3, 2018 8:23 PM

I bet the "color revolution" mechanics are all set up for Saudi Arabia and will kick off the moment KSA agrees to sell oil priced in Yuan.

In reply to China is by far the largest… by philipat

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rockstone ACP Jan 3, 2018 11:15 PM

Lol...!!

In reply to Hmm...it almost seems as… by ACP

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Idaho potato head yomutti2 Jan 3, 2018 7:30 PM

Money as in not dollars! Gold, of which the broke dick US has none.

In reply to Oh good, Russia can earn… by yomutti2

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indygo55 yomutti2 Jan 3, 2018 7:46 PM

Didn't see where they mentioned what currency they were using.

In reply to Oh good, Russia can earn… by yomutti2

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veritas semper… indygo55 Jan 3, 2018 9:04 PM

Yuan and Ruble.

And starting January 18th,yuan backed by gold ,as a trade Gold note.

As in the final blow for the petro-f*cking-dollar.

The end for the Empire of chaos,terror,and bullshit.

Observe how panicked the US is! Running around like a headless chicken,trying to hit and threaten everybody!

Remember the threats toward Pakistan? They just announced their trade will be in yuan.

Well,if US is so great and its economy so awesome and the petro yuan backed by GOLD is no threat to US,why does US threatens every country renouncing its trade in $?

In reply to Didn't see where they… by indygo55

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Shemp 4 Victory yomutti2 Jan 3, 2018 8:13 PM

> Oh good, Russia can earn some of China's pocket change.

Again yapping mutt yomutti appears, diligently barking, the dog of Pavlov.

> That's a lot of money for the Russians :)

Fingers not tired for the potato to type? Envy in silence, cur.

In reply to Oh good, Russia can earn… by yomutti2

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machiavellian-trader yomutti2 Jan 4, 2018 6:48 AM

illogical response and bitchy.

I am assuming your a snow flake or a female troll.

In reply to Oh good, Russia can earn… by yomutti2

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peddling-fiction Sudden Debt Jan 3, 2018 7:06 PM

+1 Tyler

This means they are ready to lock horns with the U.S.

In reply to COOL!!! FUCK YOU SAUDI… by Sudden Debt

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MGTOW_MONERO_XMR Sudden Debt Jan 3, 2018 7:11 PM

The future is in the EAST not the WEST

In reply to COOL!!! FUCK YOU SAUDI… by Sudden Debt

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historian40 Sudden Debt Jan 3, 2018 7:14 PM

Russia is selling weapons to Saudi Arabia, just like the US is. Not so far apart after all.

In reply to COOL!!! FUCK YOU SAUDI… by Sudden Debt

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Sudden Debt historian40 Jan 3, 2018 7:19 PM

Everybody sells weapons to Saudi Arabia, so what?

But Russia doesn't need Saudi's oil and America does.

The Saudi's don't own half of Russia like they own half of America.

And Russian weapons are better and newer then American weapons, so can you blame them?

In reply to Russia is selling weapons to… by historian40

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historian40 Sudden Debt Jan 3, 2018 7:25 PM

I blame Russia for pretending to be the opposition when they're doing as the US regime does. It's called being a hypocrite, and that's why many can't stand the US regime. If Russia acts the same, then there's no reason to support them, or pity them when attacked.

America doesn't "NEED" Saudi oil. There's a big difference between needs and wants.

The Saudis don't own half of America. There's not enough to form half when you take out how much the zionists own, unless of course, you're pointing to the fact that Saudi Arabia and the "jewish state", idol of zionists, were created and are ran by the same people.

In reply to Everybody sells weapons to… by Sudden Debt

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trulz4lulz historian40 Jan 4, 2018 2:41 AM

If I were Russian and I sold weapons to KSA, I'd do it just to track where they end up. That's just me though.

In reply to I blame Russia for… by historian40

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Blankone historian40 Jan 3, 2018 7:27 PM

Yes....yes Putin is. And not just any weapons, but the S400. Something Putin has REFUSED to sell to Syria. (Pssst, the Saudis are the enemy of Syria and have been key in recruiting and paying for ISIS in Syria to kill Syrians and destroy Syria).

Putin also signed into law new criminal laws (a per Germany, France and some other EU countries) making it a serious CRIMINAL offense to question the Holohaux.

China is doing business with Russia and acts with Russia when they find appropriate... but China does not extend itself with or for Russia. And China continues to seek to ensure other sources for oil for it's future, as the US/Zionists seek to stop them. Such as the zionists/US adventures in Afghanistan.

In reply to Russia is selling weapons to… by historian40

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Shemp 4 Victory Blankone Jan 3, 2018 9:24 PM

Outstanding analytical abilities. From your sofa, of course, the perspective is much better.

In reply to Yes....yes Putin is. And… by Blankone

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veritas semper… Blankone Jan 3, 2018 9:28 PM

I was wondering how long it will take for your BS to appear?

-Syria has something better than the S400.What is that ,you ask? Russia military bases there.The Tartus port is set to become a nuclear military base,ready to accommodate nuclear submarines and ships.

-in case you haven't noticed,the war in Syria is lost for US/SA/Israhell/UK.What they are doing now is mop up operations;may need another year to finish it.

-the Russian and Chinese economies are intertwined now(and military treaties)

-the Russians have mandatory reading of Solzhenitsyn in schools.There is nobody who had a more complete and truthful description of the 1917 Russian Revolution and its real culprits.If you do not believe me,read "200 years together". Oh,I forgot,if you are an American and you do not speak French or Russian,you can not read it.

-as for the Holocaust,the Russians know which was the REAL HOLOCAUST,that of the 66 Millions Russians,killed by the Bolsheviks,something that Mr. PUTIN told directly to the International Jews (there is a video),when they went to Russia to ask for some artifacts from the revolution.

- In May 2014, Russia's President Vladimir Putin signed a law making the denial of Nazi crimes and "wittingly spreading false information about the activity of the USSR during the years of World War Two" or portraying Nazis as heroes a criminal offence

https://en.wikipedia.org/wiki/Laws_against_Holocaust_denial

.This is what you are trying to say as Holocaust denial.It was mostly a reaction to the Ukraine neo nazi government

In reply to Yes....yes Putin is. And… by Blankone

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Blankone veritas semper… Jan 3, 2018 9:44 PM

Putin signs into law making it illegal to deny the holocaust occurred. Per Putin Nazi crimes include the holocaust. Putin knows who his master is, as it was when Russia became the Soviet Union long ago, and as it stayed when Russia renamed itself back to Russia. AND "false information" is anything that the jews disagree with in regards to WW2, the holocaust and Germany's efforts to shake off the jew bankers hold on their society.

https://www.jta.org/2014/05/05/news-opinion/world/russia-makes-holocaus…

In reply to I was wondering how long it… by veritas semper…

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Shemp 4 Victory Blankone Jan 3, 2018 10:17 PM

Your expertise has clearly tied up all the loose ends of this pipeline. Direct to the point and relevant in every way.

Publish your strategy, perhaps we will pick you President and you will save us all.

In reply to Putin signs into law making… by Blankone

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olibur veritas semper… Jan 4, 2018 5:46 AM

Solzhenitsyn was a liar and full of foul smelling substance. Research it before post your delusions here.

In reply to I was wondering how long it… by veritas semper…

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veritas semper… olibur Jan 4, 2018 4:53 PM

says the hasbara troll, without any proof using the only language he knows,foul one,with sexual and poop connotations(they are obssessed with these)

Solzhenitsyn is the greatest writer of the 20th century and one of the greatest of all times.is book is so documented,with so many footnotes ,that is difficult to read.

the West gave him a Nobel for the Gulag Archipelago mostly,because he criticized the USSR and ignored him completely and started denigrating him(like you did) after he wrote"200 years" together.

Wonder why?(rhetorical)

In reply to Solzhenitsyn was a liar and… by olibur

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Putrid_Scum Sudden Debt Jan 3, 2018 7:16 PM

Saudi is tapped out. So is Venezuela and Iran.

ALL THE OIL PRODUCTION FIGURES ARE BAKED. They’re all lying, including the US.

That said, this means China and Russia have achieved autarky. By February everything will be in place to proceed to phase 3 of The Reset.

And you can see Trump doing his best to distract the dumbasses from the devastating truth.

Final preps,

Putrid

www.beforethecollapse.com/2017/05/23/the-reset/

In reply to COOL!!! FUCK YOU SAUDI… by Sudden Debt

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stacking12321 Putrid_Scum Jan 3, 2018 7:23 PM

putrid scum is the very best scum of all.

keep up the good work, cathal.

In reply to Saudi is tapped out. So is… by Putrid_Scum

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peddling-fiction Putrid_Scum Jan 3, 2018 7:26 PM

Yep, final preps.

In reply to Saudi is tapped out. So is… by Putrid_Scum

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IH8OBAMA Jan 3, 2018 7:04 PM

But didn't the Russian and Chinese environmentalists block it? LOL

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new game IH8OBAMA Jan 3, 2018 7:06 PM

lol- upvote!

In reply to But didn't the Russian and… by IH8OBAMA

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