RusEnergy

MOSCOW, November 7 (RIA Novosti) - Prime Minister Mikhail Fradkov outlined new Russian-Chinese energy projects at a Kremlin meeting Monday. "We discussed prospects of bilateral economic cooperation, primarily in the energy sphere," Fradkov told Russian President Vladimir Putin after returning from the 10th meeting of Russian and Chinese prime ministers in Beijing. Russia has been eyeing China, its largest neighbor in Asia with a fast-growing economy, as a major economic partner for a long time. Both countries are currently emphasizing cooperation in the oil, gas and electricity industries. According to Fradkov, Russian oil companies Transneft and Rosneft and China's National Petroleum Corporation are developing a number of oil supply projects, including construction of an offshoot of the Pacific Pipeline to China. The cost of the 4,000-kilometer pipeline linking the European part of Russia with the Pacific Coast has been estimated at $15 billion to $18 billion. In the gas sphere, Russian gas monopoly Gazprom has prepared a concept of operations in West Siberia and the Far East, the premier said. Under the concept, the company is planning to create a unified gas transportation system and it is regarding China as a potential partner in the project. Fradkov also said Russia and China "are working on large projects" in the electric power industry that will increase the annual electricity output by 40-60 billion kWh. During the talks, the sides also discussed the increase of Russian equipment exports to China, including civil aircraft and energy and mining equipment, Fradkov said. "The Chinese leadership considered this possibility and proposed organizing several trade shows with Russia's participation," the premier said. Fradkov called the current 3%-share of machinery exports in the bilateral trade too low.