Russia, United States Plan to Intensify Energy Cooperation

WASHINGTON, DC, February 28, 2005 (ENS) - The presidents of the United States and Russia have pledged to intensify their cooperation on removing barriers to energy trade and investment through the existing energy dialogue.

President George W. Bush and President Vladimir Putin said in a joint statement issued after their meeting Thursday in Bratislava, Slovakia, that they want U.S. and Russian officials to develop recommendations and specific proposals in areas of energy security, transparency, commercial energy partnerships and energy-related environmental problems.

The statement cited support for the expansion of the pipeline system and liquefied natural gas capacity in Russia with a view that such enhancements, together with a more transparent business and investment environment, will help increase Russian oil and gas exports to the U.S. and other markets.

Several energy projects should be initiated no later than 2008, the statement said.

President George W. Bush (left) and President Vladimir Putin clasp hands in Constitution Hall Bratislava Castle, Bratislava, Slovakia. The meeting marked the last during President Bush's five-day European trip. (Photo by Eric Draper courtesy The White House)

At a news conference following the meeting Putin said, “In the years 2010, 2011, a large amount of liquefied natural gas can be supplied from Russia to the United States.”

"We are interested in increasing U.S. commercial investment in Russia, so as to create additional capacity for liquefied natural gas (LNG) in Russia, and also with the aim of increasing LNG exports to U.S. markets," the two leaders said in their joint statement.

"We would welcome increased Russian oil exports to the world market and an increased presence of imports from Russia in the United States. We would also welcome expanding mutual investments in the energy sectors of both countries," the two leaders said.

Speaking to reporters after their meeting, President Putin said, "Some issues have been positively resolved in terms of expanding the operation of U.S. companies in Russian energy markets. ConocoPhilips, as you know, has bought a stake in Lukoil, one of the major Russian oil companies. It bought a stake that used to belong to the Russia state. This happened recently, and I'm confident that this will be a success story, both for Russian and U.S. partners."

"Our investment corporation is becoming generally bilateral," said Putin. "The first steps - but constant steps - are being made by Russian companies that are starting to invest their capital into American economy."

The two leaders also discussed the status and prospects of Russia's cooperation in science, in particular, in the exploration of outer space.

Presidents Bush and Putin during a photo opportunity in Bratislava (Photo by Eric Draper courtesy The White House)

President Bush said that he and the Russian president hold the same views on nuclear proliferation in Iran and in North Korea, which two weeks ago announced that it has nuclear weapons.

"We agreed that Iran should not have a nuclear weapon," said Bush, "and I appreciate Vladimir's understanding on that issue. We had a very constructive dialogue about how to achieve that common goal. We agreed that North Korea should not have a nuclear weapon. And again, this is an area where we're working closely together as two nations of the five nations that are involved with North Korea."

The top United Nations envoy to the Korean peninsula is downplaying North Korea's demand for direct talks with Washington on its nuclear weapons program. The envoy predicts an eventual return to six-party negotiations.

Special UN envoy Maurice Strong of Canada said that bellicose rhetoric has elevated the climate of hostility and misunderstanding between Washington and Pyongyang.

Speaking to reporters February 10, Ambassador Strong described North Korea's announcement of its nuclear capability, and its demand for one-on-one talks with the United States, as a serious bump in the road to peace. But he said the way forward is still the six-party talks involving the two Koreas, the United States, Russia, China, and Japan.