Russia and China will build an oil shipping complex worth $686 million

The Russian Congress Fund said on Monday that Russia’s United Oil and Gas Chemical Company and China’s Shanyuan Industrial Development Company have agreed to pump joint investments worth five billion yuan ($686 million) to build an oil shipping complex in Russia’s far east.

The complex will facilitate the export of Russian oil to China in light of Moscow’s expansion of its infrastructure to diversify exports of goods towards the East, away from Europe, which Russia currently considers “unfriendly” on the political level.

The project financing agreement was signed last week in the city of Vladivostok, located in the far east of Russia, during an economic forum.

Ross Congress stated that the funding would be raised from Russian and Chinese financial institutions.

The complex will be built in Russia’s autonomous Jewish region near a railway bridge that passes over the Amur River and connects the Russian town of Nizhnyleninskoye with the Chinese town of Tongjiang.

Ross Congress said there will be five huge infrastructure units, including a terminal that can store, blend and load crude oil, oil blends and gas condensates with a capacity of 5.8 million tons annually.

The plans also include the possibility of establishing a warehouse with vertical and horizontal tanks to receive, store and distribute petroleum products and fuel oil with a capacity of up to one million tons annually.

There will also be a gas complex for shipping liquefied petroleum gas, which will be able to handle up to 650,000 tons of products annually.