China Emerges as Contender for Yukos Stake -NYT

[Rose Siding]

MOSCOW (Reuters) - China emerged on Thursday as a dark horse contender for the assets of stricken Russian oil major YUKOS as the company's state-driven break-up took yet another abrupt twist.

Amid intense speculation over who will become the ultimate owner of YUKOS's million-barrel-a-day oil unit, Yuganskneftegaz, Russian Energy Minister Viktor Khristenko said top Chinese oil company CNPC may end up with a one-fifth stake.

Khristenko's comments came after a top aide to President Vladimir Putin said Yugansk, bought at auction by state oil firm Rosneft for $9.4 billion, would not be included in Rosneft's planned merger with Russian gas monopoly Gazprom.

``The assets of Yuganskneftegaz will be spun off and transferred to a separate company, 100 percent owned by the state,'' Khristenko said in a statement issued by his ministry.

``Up to 20 percent of the shares in this company may be acquired by the Chinese National Petroleum Corporation. Such an option was mentioned in documents signed earlier with CNPC.''

http://nytimes.com/reuters/business/business-energy-russia-gazprom-rosneft.html

[acmavm]

1. China and Russia teaming up in the oil business. This has got to be

sending a lot of crooked American oil barons running to the drug or liquor cabinet.

[Rose Siding]

3. Having lived mostly during the Cold War...

reading this gave me a jolt, and I don't have financial interests anywhere :)

[movonne]

5. Also China has been teaming up with Argentina..

[htuttle]

2. So Russia is selling 20% of a state-owned oil company to China?

Wonder what the other half of that deal looked like? Must have been something VERY nice...

[Old and In the Way]

4. They're planning a mutual defense exercise next year, too.

Seeing lots of new bi-/multi-lateral security arrangements popping up around the world.....the PNAC players have done a magnificent job of getting the Cold War restarted.