Russia looks to China for gas contracts


"Diversifying Russia's client base makes economic and geopolitical sense, as the centre of the global economy shifts steadily away from Europe and the US, and towards non-G7 economies," says Kit Juckes, head of investment strategy at investment manager ECU Group.

At the end of 2009, Gazprom, producer of 85% of Russia's gas output, signed an agreement with China's biggest state-owned petroleum company, China National Petroleum Corporation (CNPC), for it to supply gas to China.

Gazprom stated the

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