The third quarter financial statement reveals that Russia"s Russneft have received 996.5 billion rubles (approximately 97.26 billion yuan) of advance payment for future fuel supplies. The market analysts say this is the advance payment made by China to purchase Russia’s petroleum. Anbound’s chief researcher, Chen Gong, is of the view that, judging from this deal, in the future, the price of the refined oil in China will drift further apart from the international market. If the price of the crude oil bought is relative high, this means that the cost of the petroleum, too, is relatively high. Meanwhile, if Russia can provide steady supply of oil to China, China might slow down on its development on foreign oil market. Besides, China might increase its subsidies for domestic oil refinery industry.
