Study Of Sino-Russian Oil And Gas Enterprises Cooperation

Modern development of the global economy leads to growth in consumption of energy resources.In this case regional energy resources disproportions for the most number of regions isn't provided with the sufficient level of hydrocarbons.The same way,energy integration processes is a characteristic of the World economy'present stage and testifies a globalization energy market tendency by creating transregional economic relations contributing to the countries'development.Research is devoted to Sino-Russian gas cooperation concerning evaluation of reserves,long-term production,and outlooks for consumption.Growth of the geopolitical influence of the People's Republic of China is the main factor for one of the key components of long-term political,global,and regional forecasting.China's steady economic growth also creates large incentives for Russia to seek energy cooperation.The Chinese economy advanced 6.4 percent year-on-year in the December quarter of 2018,after a 6.5 percent growth in the previous quarter and matching market expectations.Considering full 2018,the economy expanded 6.6 percent.Previously,China's statistic bureau revised down the country's GDP growth for 2017 to 6.8 percent from 6.9 percent.GDP Annual Growth Rate in China averaged 9.55 percent from 1989 until 2018.In a sufficiently large number of scientific papers on Sino-Russian energy cooperation,not enough attention is paid to the economic justification of the development of bilateral relations in narrower areas,such as oil and gas cooperation.This study confirms the need to develop cooperation in the energy sector by building a forecast for increased demand for gas and oil from China,with the result that Russia can increase supplies in this sector.To construct the forecast,was used econometric analysis.To model the demand for natural gas and oil in China,the author uses the regression analysis method in the form of a vector auto regression model,which allows studying economic phenomena that are influenced simultaneously by a large number of factors.The vector auto regression model,taking into account the influence of the main factors,highlights and takes into account the influence of insignificant factors,which together have a significant influence,adding to the model the lagged values of the studied phenomena.Due to this,the forecast has high reliability rates in the short and medium term.Also author highlighted the main problems of the development of Sino-Russian cooperation,proposed countermeasures to them.In addition,the influence of Chinese Russian cooperation in the oil sector on the global community has been determined.Of course,the development of relations between the Russian Federation and the People's Republic of China is mutually beneficial and rational,therefore both the Russian and Chinese governments will work hard to develop bilateral ties in the areas studied in this work.