India is fighting China in the battle for Russian oil by angling for a supply deal and a stake in Yuganskneftegaz, the oil unit that was seized from Yukos and is now owned by Rosneft, the state oil company.This won't help the region stabilize at all...
Mani Shankar Aiyar, India's petroleum minister, will visit Russia on February 21 to discuss the possibility of the country taking a 15pc to 20pc stake in the oil unit, which is still the focus of legal action in the US. "There are no full stops and the dialogue is continuing," he said.
The fact that Yukos has threatened to sue anyone who interferes with its former unit has not put India or China off. China has offered $6billion (£3.34billion) to fund the purchase of Yugansk, in return for a guaranteed 360m barrels of oil over the next five years. India has been offered a similar quota but wants a slice of equity for its national oil company ONGC.
Rosneft paid $9billion for Yugansk, which pumps about a million barrels a day, through a holding company called Baikal Finance. Yukos has filed for damages concerning the sale of Yugansk, and is petitioning for $20billion from Rosneft, Gazprom and their subsidiaries. Yukos also said it would pursue Deutsche Bank, a situation that could see the German bank threatened in the US.
Mark's Remarks
No, it will not...And with Russia already teetering on the brink of a return to totalitarianism, and now China and India fighting over oil, it leads to a new hotspot. I am sure the leftist "hate the US" fringe will come up with some explanation for how all of this is the fault of Bush, or Reagan, rather than deal with the problem or propose solutions and ideas.
The Left--we just blame, blame, blame...because we have no vision, no ideas, no clue.
