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China's Hu opens pipeline with Turkmenistan

Text by News Wires

Latest update : 2009-12-14

China's President Hu Jintao on Monday opened a pipeline to transport Turkmen natural gas to China, signalling a major victory for Beijing in its drive to access a market traditionally dominated by Russia.

REUTERS - China extended its reach into Central Asia's natural resources on Monday as its leader Hu Jintao opened a pipeline linking a gas field in Turkmenistan with China's restive Xinjiang region.

The leaders of Kazakhstan, Uzbekistan and Turkmenistan joined Hu in a remote location near the Turkmen-Uzbek border to commission the 1,833-kilometre (1,139-mile) pipeline that snakes across Central Asia through their countries.

Starting near a Chinese-developed gas field in eastern Turkmenistan, the pipeline is expected to reach full annual capacity of 40 billion cubic metres by 2012-13 and help Beijing propel its explosive economic growth.

In the windswept settlement of Saman-Tepe, festooned with Chinese and Central Asian flags, officials cheered and hugged after the four presidents symbolically turned the pipeline tab.

A nearby gas plant, its metal chimneys sparkling in the sun, was adorned with huge portraits of Hu and Central Asian leaders.

China's aggressive foray into Central Asia represents a snub to Russia which still sees the Muslim region as part of its sphere of influence. It is also a worry for Europe, which sees the energy-rich region as an alternative new supplier of gas.

Lying on some of the world's biggest oil, gas and metals reserves, Central Asia is at the centre of a geopolitical tug-of-war between Russia, China and the West, all seeking to grab a share of its untapped riches.

The pipeline is a success for China since it is Central Asia's biggest export route that reaches markets outside Russia and bypasses it territory.

The West has also watched with unease as years of quiet diplomatic manoeuvring have helped China step up its presence in the region by handing out billions of dollars in loans, snapping up energy assets and building an oil pipeline from Kazakhstan.

On a visit to neighbouring Kazakhstan, Robert Blake, U.S. Assistant Secretary of State, was asked about Washington's stance on the pipeline.

"The United States has always supported multiple pipelines to export oil and gas from Central Asia," he said. "We recognise that China has big interest in the region and growing energy demand."

Welcome China

Hu's visit acted as a rare unifying force for Central Asian leaders who, ridden by internal rivalries and rows over cross-border use of natural resources, rarely assemble to discuss regional cooperation.

They have in the past tentatively attended Russia-dominated regional summits, but their willingness to travel to a remote location underscores the extent to which they want to forge closer ties with their giant eastern neighbour.

"This project has not only commercial or economic value. It is also political," President Kurbanguly Berdymukhamedov told Hu on Sunday. "China, through its wise and farsighted policy has become one of the key guarantors of global security."

Russia ruled Central Asia, a thinly populated region of steppes and mountains, for centuries, first during tsarist-era conquests and later under 70 years of Soviet dominance.

After the Soviet fall, Central Asia's mineral riches and strategic proximity to Afghanistan and Iran prompted the West and China to seek closer ties there.

Russia's Gazprom stopped buying Turkmen gas in April after a pipeline explosion sparked a broader diplomatic row over gas. The move has cost Turkmenistan about $1 billion a month and prompted it to form closer links with other nations.

As diplomacy heats up, Russian President Dmitry Medvedev is also due to travel to Turkmenistan this month for energy talks.

Date created : 2009-12-14

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