Moscow Times - Giving China a Piece of Russia
The Moscow Times reports: "On June 17, President Dmitry Medvedev and Chinese President Hu Jintao signed an agreement in which Russia will sell 300 million tons of oil to China over 20 years for $100 billion. That breaks down to $57 per barrel. [...] The contract Medvedev signed with Hu means that Russia will inevitably lose its Far East."

Comment: This report explains why the energy deal is a very good deal for China and a bad deal for Russia and places the two on a competitive path. This is a rivalry that we expect to continue to coalesce around energy, oil, and the Middle East.