A beautiful Eastern friendship

Russian resources, Chinese cash

Vladimir Putin's first visit to China since the Olympics last year restarted a "strategic partnership" that to many observers seems like the beginning of a budding romance.

The $3.5 billion in energy, infrastructure and banking deals had Mikhail Margelov, chairman of the Federation Council's International Relations Committee, gushing to Gazeta.ru that the Russian-Chinese friendship "had a brilliant future."

However, in Britain, retired British diplomat Tim Collard expressed concern about "China and Russia being back together" in a Daily Telegraph blog.

The 12 agreements between the two countries focused on natural resources, with China looking to capitalise on Russia's vast reserves as its rampant economic growth continues despite the crisis. Russia, meanwhile, is energetically looking to expand and diversify its oil and gas exports.

The Financial Times and Bloomberg, however, reports that a key gas deal failed to make "substantial progress," with only a preliminary document signed, which didn't specify the source or price of the gas.

"Price is the key," Cliff Kupchan of New York-based Eurasia Group told Bloomberg. "No agreement, no deal."

Nigeria runaround

Gazprom's proposed joint venture in Nigeria, Nigaz, has hit a snag, according to the Daily Trust, a Nigerian newspaper.

While paragons of political correctness might suggest that the project's name would cause offence to officials in Lagos, it appears the problems lie more with a lack of enthusiasm on the Nigerian side.

Last week a Gazprom delegation arrived for a meeting with the Group Managing Director of Nigeria's National Petroleum Corporation - only to be stood up, and later taken to a hastily-arranged pow-wow with the acting MD four days later.

The paper's source also claimed that Petroleum Minister Rilwan Lukman was lukewarm about the deal.