The Russian company "United Oil and Gas Chemicals" and the Chinese firm "Shan Yuan Industrial Development" have announced a joint investment of five billion yuan (about $686 million) to construct an oil transshipment complex in the far east of Russia.
This complex will facilitate the export of Russian oil to China as Moscow expands its infrastructure to diversify its commodity exports towards the East, moving away from Europe, which it currently views as politically unfriendly.
The financing agreement for the project was signed last week in Vladivostok, a city in the Russian Far East, during an economic forum.
According to "Russian Congress," the funding will come from Russian and Chinese financial institutions.
The complex will be built in the Jewish Autonomous Region, an area with autonomous governance in Russia, near a railway bridge spanning the Amur River, connecting the Russian town of Nizhneleninskoye to the Chinese town of Tongjiang.
The project, as outlined by Russian Congress, will consist of five massive infrastructure units, including a station capable of storing crude oil, oil blends, gas condensates, mixing them, and loading them with a capacity of up to 5.8 million tons annually.
Additionally, plans include the establishment of vertical and horizontal tank farms for receiving petroleum products and fuel oil, with a storage and distribution capacity of up to one million tons annually.
Furthermore, the complex will also feature a gas facility for shipping liquefied petroleum gas, with the capacity to handle up to 650,000 tons of products annually.
This joint investment highlights the growing economic cooperation between Russia and China and their commitment to strengthening energy ties.