|Getting to Know China's Energy Strategy|
|by Tom McGregor||Mon, Jan 20, 2014, 06:47 PM|
BEIJING: For Westerners, China continues to remain a land of mystery. Transparency in government does not exist here. Nevertheless, more details are emerging about the nation's overall energy strategy.
ZeroHedge reports that, "China’s engagement, investment, and foreign construction related to energy continue to grow. China has constructed or invested in energy projects in more than 50 countries, spanning nearly every continent. This ambitious investment in energy assets is driven primarily by two factors. First, China is increasingly dependent upon imported energy to sustain its economy. A net oil exporter until 1993, China remains suspicious of international energy markets. Second, energy projects present a viable option for investing China’s vast foreign currency holdings."
China is becoming more reliant on obtaining its oil resources from Iran and Russia.
According to ZeroHedge, "In 2011, China imported approximately 58 percent of its oil; conservative estimates project that China will import almost two-thirds of its oil by 2015 and three-quarters by 2030. Beijing looks primarily to the Persian Gulf, Africa, and Russia/Central Asia to satisfy its growing demand, with imported oil accounting for approximately 11 percent of China’s total energy consumption."
85 percent of China's oil imports are transited either through the South China Sea or the Strait of Malacca.
To read the entire article from ZeroHedge, link here:
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