During his working visit to China, Deputy Prime Minister Igor Sechin signed an intergovernmental agreement on bilateral oil cooperation. Mr Sechin called it "the main result" of the fourth round of Russian-Chinese energy talks in Beijing.

Speaking after the signing ceremony, Mr Sechin said that the agreement creates a new foundation for bilateral energy cooperation. "This is a unique, long-term funded agreement. We have already started building a branch of the oil pipeline to China with a view to implementing it," he said.

Mr Sechin went on to say that "our companies are already building facilities for this project... We will focus on creating the infrastructure as soon as possible. It will allow us to secure reliable and uninterrupted oil supplies to China during the entire term of our contracts." The Deputy Prime Minister emphasized that "the conclusion of the agreement points to the special relations between the two countries, relations based on trust and strategic partnership."

During the talks in China, Mr Sechin expressed the opinion that "the mechanism of energy dialogue established at the initiative of our leaders has made it possible to enhance the coordination of Russian and Chinese companies on all directions of energy cooperation."

"Our energy cooperation has become more streamlined and comprehensive with due account of bilateral interests," he emphasized.

Talking to journalists after the signing ceremony, Mr Sechin said that a branch from the Eastern Siberia-Pacific Ocean (ESPO) oil pipeline will be built by 2010: "All in all, China will be supplied with 300 million tons of oil over the course of 20 years. The branch's construction has already begun. The construction of the oil pumping station, reservoirs and oil villages has also got under way," he said. "The effectiveness of our cooperation with China allows us to accelerate the pace of the project," Mr Sechin highlighted. "Its implementation also provides for the construction of oil pipelines in our country. They will connect oil deposits for supplying China with oil through the export pipeline."

The Deputy Prime Minister also expressed the hope that "the agreement will lay the foundations for mutually advantageous oil cooperation that provides not only for oil supplies, but also, in the long term, for participation in oil processing in China and for marketing projects." He underlined that "in the same way, Chinese companies will gain access to the prospecting for and extraction of oil on Russian territory under joint projects with our companies."

                   ***

During his Chinese visit, Mr Sechin met with his Chinese counterpart Li Keqiang, and handed him a message from Prime Minister Vladimir Putin addressed to Chinese Premier Wen Jiabao.