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The Japanese government intends to agree with Russia on the construction of an oil refinery

The Japanese government intends to include a clause on the construction of an oil refinery near Vladivostok in a new agreement between Russia and Japan, which could be signed between the two countries during the planned visit of Russian President Vladimir Putin to Tokyo, the Izvestia newspaper reported today.

According to the mayor of the Japanese city of Niigata, Akira Shinoda, it was originally supposed to place an oil refinery in the eponymous Niigata prefecture, but this idea was abandoned. “We used to have such a plant, but we thought that it would be very difficult and expensive to restore it, so the idea of ​​building an oil refinery near Vladivostok is being worked out,” said Synoda.

According to the mayor, if the plant is built (the agreement provides for its construction in the medium term), Japan will agree with Russia on the purchase of Russian oil for it. "It is too early to talk about the exact cost of oil, but the price may be one and a half times higher than the cost of Russian oil for China," the mayor said.

"We hope that Putin's autumn visit to Japan will open up such prospects for us (construction of an oil refinery - ed.) And an intergovernmental agreement will be signed," added the mayor of Niigata. Now, according to him, the Japanese government is preparing documents and agreements with Russia, and they, most likely, will also include a pipeline between Sakhalin and the island of Hokkaido.

According to Synoda, the three largest oil refineries in the country are interested in the construction of the refinery - JX Nippon Oil & Energy Co., Idemitsu Kosan Co. (in terms of refining volume in second place after Nippon), as well as Showa Shell Sekiyu Сo. (the largest shareholder with 35% is the European Royal Dutch Shell, 15% is held by Saudi Aramco from Saudi Arabia, 50% of the shares are distributed among small individual and institutional investors).

The Showa Shell Sekiyu newspaper confirmed that the company has plans for several projects in Russia. However, as noted in the press service, while Showa Shell Sekiyu does not have detailed plans for the construction of an oil refinery in Primorye. "So far no specific agreements have been signed, it is too early to talk about this," the press service commented. The other two companies mentioned have reported that they have no plans to invest in the construction of the plant.

A visit to Japan by the Russian president is scheduled for the fall, but its specific date has not yet been determined. The Japanese government is still using the formula that the issue of it "will be resolved on the basis of a comprehensive consideration of various factors." The timing of the visit of Foreign Minister Fumio Kishida to Russia, which should precede Putin's trip, is also unknown. Kishida's visit was supposed to take place in the spring, but was postponed indefinitely due to the situation in Ukraine.

Japan due to the unstable situation in Ukraine has already introduced four packages of sanctions against Russia.

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