Russia delays China pipeline deal

The Russian prime minister, Mikhail Kasyanov, has postponed a deal with China to build an oil pipeline between the two countries.

Speaking on a visit to China, Mr Kasyanov said Russia was still carrying out technical and environmental studies for construction of the $2.5bn pipeline.

It would run for 2,400 kilometres (1,500 miles) from the Angarsk oil fields in Siberia to refineries in the northeast Chinese city of Daqing.

Correspondents say China needs Siberian oil to fuel its fast growing economy, but Tokyo has also been lobbying Moscow hard to extend the pipeline to the Sea of Japan.

Mr Kasyanov said that before a decision is made on the pipeline route, Russia will increase the amount of oil it ships to China by rail.

From the newsroom of the BBC World Service