"Beginning with September 28, 2004 the Yukos oil company suspends direct oil supplies to China," the company reported.
It is caused by the impossibility to continue pre-export financing of oil supplies to the Chinese National Petroleum Corporation. Last week the Yukos oil company informed its Chinese partners of the changes in export volumes, the company said.
"Yukos does not plan to reduce oil production, however, in the present conditions it will shift these volumes of Chinese export to other oil sales lines. The company expects to resume oil exports to the Chinese National Petroleum Corporation as soon as possible," reads the Yukos press release.
Meanwhile, President of the Russian Railways open joint stock company Gennady Fadeyev told journalists on Monday that Yukos had not officially informed his company of the suspension of supplies.
"The transportation in proper volumes goes on," he noted.
According to Mr. Fadeyev, in 2004 Yukos should supply 5.5 million tons of oil to China. "I believe they will supply 6.5 million tons by the end of the year," he said.
There are no problems with payments for Yukos oil supplies to China, Gennady Fadeyev stressed.
He ruled out the possibility of Yukos oil transportation to China on credit in case of company's problems with financing.
