China, India to discuss border, sign deals
Updated: 2006-01-11 05:47
The agreements provide for cooperation in exploration, production, storage
and stockpiling, research and development and conservation, the Indian petroleum
ministry said in a statement.
On Monday, Chinese oil company CNOOC Ltd. said it bought a 45 percent stake
in a Nigerian oil field after India's biggest oil company, state-owned Oil &
Natural Gas Corp., backed out despite a winning bid. CNOOC paid US$2.3 billion
(euro1.9 billion) for the stake.
Aiyar refused to state the reasons for India's decision to withdraw, although
media reports say the Indian Cabinet opposed the deal, saying it wasn't
"This visit is the opening of a new chapter in our relationship ... it will
lead to new levels of understanding," Aiyar told reporters.
Aiyar said the engagement would also help structure an oil and oil products
market and possibly help bring down prices in Asia, the world's largest producer
of oil and gas and the fastest growing consumer.
Aiyar said he was also open to discussing a pipeline project connecting India
and China, a suggestion he has made in the past.
"This relationship is not only desirable but also feasible. On several
occasions we find ourselves competing with Chinese firms," he said. He added
that India and China still might compete, but without "destructive