Moscow's Focus On Asia.

Russian Ambassador to Manila Vitaly Vorobiev on April 25 said Russia was laying the infrastructure to become a major crude oil supplier to Asian countries, including an ambitious pipeline being built from Siberia to the Pacific coast. Russia is also considering discussions with Philippine energy officials about proposals to build an oil refinery and storage facilities in the Philippines which could serve South-East Asia. And South-East Asian states have expressed interest in Russia's plans to become an important energy provider in the region.

Vorobiev told foreign correspondents: "The countries of South-East Asia...are waiting for further explanation of Russian intentions. There should be some kind of concept how to position Russia in this respect. We didn't pay much attention to this area and we started to change our mind-set only in 1990s". Russia would be interested not only in "buy and sell operations" but could invest in oil refineries and storage.

Many energy-hungry Asian economies have long been dependent on Middle Eastern oil, but fears of supply disruptions due to sporadic conflicts in the volatile region have prodded countries like the Philippines to turn to possible alternative sources like Russia.

An ambitious project, involving construction of a 1.6m b/d crude oil pipeline from Siberia to Russia's Pacific coast, could also help bring about an Asian oil trading mechanism to reflect the region's market fundamentals. Backed by the Kremlin, the 4,100-km pipeline could be completed in three to four years.