* China has become top buyer of Russian oil, outstripping
* Rosneft to deliver an additional 2 mln tonnes via ESPO
* Company will ship 7 mln tonnes via Kazakhstan to China
* No deal on supplies to Sinopec yet
* Rosneft says sells oil at Kozmino only via tenders, not
By Vladimir Soldatkin and Katya Golubkova
MOSCOW, Feb 6 Russia's biggest oil producer
Rosneft will export an additional 9 million tonnes
(180,000 barrels per day) of oil to China this year and is
continuing talks to increase eastbound crude supplies further,
the company said on Thursday.
President Vladimir Putin has made cooperation with
energy-hungry Asia a priority for Russian companies as their
business with fragile European economies falters and as nascent
deposits in East Siberia are being developed.
A Rosneft spokesman said the company, which supplied over
300,000 bpd to China last year, would increase deliveries by 2
million tonnes to China National Petroleum Corp (CNPC)
via a spur of the East Siberia-Pacific Ocean (ESPO)
It would also ship 7 million tonnes to CNPC via Kazakhstan
in 2014, the spokesman said in an email.
State-controlled Rosneft, for the first time revealing its
plans for supply to China this year, said it was still in talks
with China's top refiner Sinopec over additional oil
flows in the coming decade.
Rosneft's president Igor Sechin, a close ally of Putin, has
said that supplies of 1 million barrels per day to China in
future was "realistic".
By increasing its oil deliveries to China, Rosneft has sent
ripples through the global trading community and raised fears of
undersupply to Europe, where refineries are suffering from high
oil prices and low margins.
China has already outstripped Germany as Russia's largest
buyer of oil with pipeline shipments totalling around 1.949
million in January, according to the Russian Energy Ministry.
Russia expects to export up to 5 million tonnes of oil to
Germany in the first quarter.
Rosneft plans to further ramp up oil flows to China and has
signed a memorandum with Sinopec with a view to supply it with
10 million tonnes of oil in the next 10 years.
The Rosneft spokesman said the company is still in
discussions with Sinopec over a final oil-supply agreement.
"Currently, both sides are continuing work over adjustment
of supply conditions. It is to early to speak about possible
supply routes before the signing of the agreement," he said.
Rosneft has also been considering joint development with
CNPC of Russia's vast offshore hydrocarbon resources.
Sechin told reporters on Thursday that Rosneft and CNPC are
in discussions over "new proposals" on CNPC's participation in
tapping Arctic and Far Eastern deposits.
Rosneft declined to reveal how much crude oil it is shipping
to China via the Russian Pacific port of Kozmino, which expects
to increase total exports to 440,000-460,000 barrels per day
this year from 426,000 bpd last year.
A spokesman for Rosneft said the company sells oil at
Kozmino only via spot tenders, not under long-term contracts.
According to the port's data, Japan was the prime
destination for oil supplies last year, accounting for 35.5
percent of crude cargoes from the terminal. China was second
with 23 percent, and the share has been growing steadily.
(Reporting by Vladimir Soldatkin and Katya Golubkova;
Additional reporting by Alexei Anishchuk in Sochi; Editing by