According to the Interfax International Russian President Vladimir Putin said while meeting with western journalists at the Kremlin that the Taishet-Nakhodka oil pipeline would reach China first and then arrive at Russia's Pacific coasts.

Before this Japan once considered conditionally increasing its aid to Russia in building the Siberian oil pipeline. It is said the aid would reach as much as $9 billion on the condition that Russia give the priority of this pipeline to Japan instead of China.

Until now Russia has declined to commit itself as to which country should get the priority.

However, at the Kremlin meeting with western analysts and journalists held on September 5 evening President Putin said crude oil would first be transmitted to China's oil center - Daqing. Kremlin spokesman confirmed President Putin's remark and said Presdient Putin thinks building an oil pipeline to China first to be more economically attractive.

Putin said the first phase of the Taishet-Nakhodka pipeline project starts from Taishet to Skovorodino near the Russia-China border, with a capability of carrying 30 million metric tons of crude oil annually. Of the 30 million 20 million would be sent to China's Daqing through branch lines with the remaining 10 million to be shipped to Nakhodka on the Pacific coast. Construction of the first phase pipelines is to be completed in 2008.

By People's Daily Online