Monday, July 31, 2006

Kazakh Oil Pipeline to China

PetroChina has announced that a first batch of crude oil has been successfully piped from Kazakhstan to its oil tank field in northwestern Xinjiang Uygur Autonomous Region via the China-Kazakhstan Pipeline.

The transnational section of the crude oil pipeline linking China to Kazakhstan is 962 km long. It joins a 246 km domestic section, making a total length of more than 1200 kilometers. The pipeline will carry 10 million tons of crude oil per year. It is designed to transmit 20 million tons of oil a year, 15% of China's total crude oil imports for 2005.

This is good for both China and Kazakhstan. Land-locked Kazakhstan has ample natural resources but have been poor at getting those resources to those willing to pay fair-market prices. China needs the oil to fund its growing economy.

This should help America realize how important it is to become energy self-sufficient.

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