Russian Budget to Receive USD 2.5bn from Rosneft Oil Sales to China

Russia’s budget will be boosted by additional revenue of up to $2.5 billion annually in export duties paid by state-run Rosneft for its oil supplies to China, RIA Novosti has cited the energy minister as saying on November 13.

Rosneft's chief executive said on November 12 that the company plans to pump seven million tons of oil to China annually starting from 2014.

"Export duties will be levied on these seven million tons, and the budget will get additional [income of] $2.3 billion to $2.5 billion,” Energy Minister Alexander Novak said.

The pipeline to China passes through Kazahkstan.

Rosneft signed tentative agreements on Monday with Kazakhstan’s national energy company KazMunayGaz and national pipeline operator KazTransOil to ensure safe transit of its oil to China.

Copyright: RIA Novosti, 2013