China and Russia Discuss Energy Deal

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Looks like Russia is about to suffer some more strategic fallout from the Georgia War, to the tune of $20-30 billion in direct and immediate loans to its oil industry from China. That, in return for guaranteed exports of two billion barrels a year for 20 years. Obviously, Beijing is having some trouble digesting Russia’s recognition of the separatist provinces. Seriously (or if not seriously, then with slightly less irony), it’s quite a bargain compared to what we’ve spent in Iraq securing our oil imports for the next twenty years. Moscow and Beijing are also talking about dispensing with the […]

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