second important one was the equity stakes with which the chinese would acquire in eastern siberia and the far east. so i think there have been some concessions from russia's side in order to stimulate this deal and make it a proficient moment from the political side, but what underpins the deal with economics from both sides. >> professor, you've heard vladimir putin talk about a euro-asian union and about looking east. when china looks west towards russia, does it see what putin sees? is there a shared vision here? >> i think so. in fact, that reminds me of something during the cold war. there was two alliances. one is the continental euro asia, china, russia for a while and other continental powers. the other is marine time asia-pacific. in these new things, we see that type of power competition coming back. china and russia are the largest continental powers. they come together. in fact, many people had a lot of suspicions, myself included. these two strange bedfellows would not come together. in the last few years, more than a few years it's amazing to nonobservers. these two coun

for example, development, the development of infrastructure in the far east and in eastern siberia, not only pipeline but, also, railroads. roads are part of this package, which according to the observers here in moscow is the usual package that china uses when it goats abroad in a country and it invests. also, they were very careful to point out that they would not import chinese workers, so the pipeline and the construction projects on the russian side will be done by russian workers. thanks to probably a large chinese moon. >> that's for -- chinese loan. >> that's for sure. as i pointed out in my already research project that i wrote recently we will take a short break right now. when we come back, we will talk about what the future holds for both these countries and what it means for the united states. this is "inside story." stay with us. means for the united states. o. >> must it could not? it you see? >> has been for many years. the two cases lined up together all the time. so that's been the case for a long time. the question as to whether that can be changed goes back to the is

long-lasting partnership, 30 years, a 30 year contract with china and probably investment from china in eastern siberia. it iswould like to add probably a tactical success for mr. putin. for europe and the united states, it cannot have this deal, this contract cannot have an impact on the situation in ukraine, because those are not the same pipes and fields, and those are probably not the same scale as in europe. things arein europe, allocated in the western part of russia. these are in the far east regions of russia. utin hasdent clinton p hailed this as the largest contract that the ussr has signed, but many details have yet to be hammered out, so some things have yet to be seen. >> yes. many details have to be defined and settled. first, who will pay for the infrastructure, for the facility, because those pipelines, it will take time and resources to be built, and second, the long-lasting effects on the relations between russia and china. of course, mr. putin wants to show off. he wants to highlight that he is in partnership with china, whereas china does not want to be a partner. with 1.5 be a part

. >>> there is no one word to describe this video from eastern siberia. that is steam from a geyser that erupted. according to reports the bus driver was trying to go around a hole because a drainage pipe was damaged but they said by him going around the weight from the bus was too much and damaged the pipe further and that's what caused this boiling geyser. >> that hot steaming water going through that bus is cooking these people. >> the guy in the orange jump suit you could tell how hot the water was. >> according to reports the bus driver was scalded by hot water and jumped out of the bus but he did not open the doors for the passengers. he must have been in such great pain his first reaction was to get out of there. one witness said to a newspaper, quote, i couldn't see who was inside. there were only hands sliding on the misty glass. this appears to be once everybody is out of the bus. 11 people were injured including five teenagers. seven were hospitalized and two women are in serious condition. most have burns, but others have cuts from broken glas

if you look at eastern siberia or if you look at the arctic cost of productions are very high this is land gas as opposed to offshore, but offshore that is shallow or offshore gunie they are signing new licenses as we speak, don't you think this will be to europe as well and the picture in the early 2020's is going to be different than what we see today where russia gas has an advantage for west siberia. and the second question is about ukraine. do you think they have viable options with gas coming from europe as lng or otherwise or lng even into the black sea with the floating terminals? thank you. >> well in terms of the outstream cost the overall cost are high. the overall capital expenditures are expensive and russia is competitive. i think gas delivered to europe can be delivered at $7-$80 so i think it can compete with the offshore sources. i don't think octy gas is in our life. >> you are a young man -- >> i don't think i will see arctic gas coming out of. there is plenty of gas to satisfy the west demand. georgia is difficult with the helium issue but it is all about transport

interesting in the slide that jim showed, gazprom forecast for 2020 production from eastern siberia, it was very modest. maybe this deal will cause them to revise their forecasts. wheneal is this deal, and and how might we be able to tell? one other point that we would be nterested, particularly for europeans coming to washington, for us to hear more about is the eu's competition case against gazprom, anti-competitive practices, allegedly. be -- a report should be filed not too long from now, maybe by fall. picturer part of the that you can help us fill out, maybe, is how interested is russia in the gas exporting countries forum? is this just something that will lead to anything or something that in the longer run may have more legs than we seem to expect right now? i happened to be in turkmenistan last week when the deputy prime minister decided to make a refueling stop, i think, between shanghai and st. petersburg. forum ismeeting of the in november, i believe in go hall. a little bit about that will be interesting for the audience as well. >> you raised a lot of questions that you

cost of production -- if you look at eastern siberia or if you look in the arctic, the cost of production is very high. this is what land gets as opposed to offshore. ffshore mozambique is shallow, offshore gi nee that they're signing new licenses as we speak, don't you think -- offshore guinea that they're signing new licenses as we speak, don't you think the picture in the early 2020's will be quite different than what we see today where russian gas from west siberia has an advantage. the second question is about ukraine. do you think ukraine has viable options in terms of enter connectors from europe, gas coming from lng or otherwise or even lng into the black sea with the floating of terminals? >> the overall cost are igh. capital expenditure is high. but i think russia is pretty competitive and gas delivered to europe can be delivered at $7.50, eight dollars btu and can compete with any of the offshore sources. arctic has will be very expensive but i don't think it's in our lifetime. > you are a young man. >> i think there's when the of gas on the peninsula to satisfy demand but geor

they need somebody to help them develop eastern siberia. they just found that. a deep pocket to make them energy dominant. melissa: steve, go ahead. >> they're building, they're building coal-burning plants by the dozens in china of the i don't see them moving away from coal as a fuel source but i do think natural gas is going to also be a big competitor to coal in china. but you know what is interesting about this is, because we have, we're so technologically ahead of the rest of the world in terms of these new drilling technologies we can us produce the stuff and sell it cheaper abroad than they can get it from russia. gets back to the point, kt was talking about the national security implications of this kt, i would make the case that these pipelines that we need in the united states, those are national security. >> absolutely. melissa: we've got to go. thanks to all three of you. great insight. >>> a feline strikes back against disney's cash cow. a cat with pretty icy feelings about frozen, and giving her the ultimate cold shoulder. we will tell you how thes

the accord, signed during a two to shanghai putin will allow gazprom to develop .as fields in eastern siberiae is ryan chilcote from st. petersburg. deal.s a pretty big how would you characterize the scope of this? billion massive -- $400 is what we estimate and what gazprom estimates it might be worth over the next 30 years. does not get much bigger than that. >> what are the politics here behind this? >> gazprom, the world's largest gas producer, sells almost all of its gas outside of russia to western europe. you have the western europeans and the eu saying they want to diversify away from russian imports. so the russians are saying fine, if you want to diversify, we have a place where we can diversify our exports. that the western europeans really do not have a viable alternative to russian moment.he certainly not for the next few years. what the russians would be selling to the chinese is not going to replace the need for the european market for them. about 1/5 of the gas they are currently selling to the eu will go to china. >> the two countries the u.s. worries about the most. they mig

box in eastern siberia being struck by a. jet of boiling water something you want to experience in your commute those stories and a lot more online right now. right to see. first street. and i think you're. on a reporter's. instagram. today in the. afghanistan is the second country where all calls are being monitored by america's national security agency the information released by wiki leaks let's get some more on this right now cross live. right now here on the program up ali good to see you the revelations are surrounded by quite some controversy. yes well earlier this week glenn greenwald revealed that the n.s.a. had been monitoring all the domestic and international phone calls of two countries one of those countries he said was the bahamas but he refused to name the second country he said that it could lead to the loss of innocent lives now there was also some speculation that he was perhaps under pressure to keep that second country a secret none of that pleased rival whistleblower julian assange blasted greenwald on t

. >>> a pipe burst in eastern siberia causing a massive geyser.s running to escape the water and the steam. some got trapped. others helped rescue them. seven people were hospitalized with burns. >>> welcome back to "cbs this morning" morning". coming up, help for anxious flyers on this busy travel weekend. you'll meet the retired commercial pilot who became a trained counselor. he's taking stress out of the sky. >>> plus a world renowned designer sets up shop in a small alabama town. jan crawford talks to billy reid about the highs and lows of fashion and the day that changed everything. that's ahead. >> right now it's time to show you some of this morning's headlines. our san francisco station kpix says a woman in a coma since march gave birth to a healthy baby. on thursday the boy was delivered by c-section. the mom has been in the coma since having surgery for a brain tumor. her familiary calls the birth a story of joy. >>> "the washington post" previews tonight's big show in the sky. astronomers say a meteor shower could grow into a meteor st

>> a lot of this energy comes actually from eastern siberia, gas does indeed come from turkmenistan. of that ends up in western europe, funny enough. the unique part of this deal is you are passing gas that is not going to western europe now, so it is not like the russians are diversifying away from europe with the same pot of gold. they've got another pot of gold that they have not been tapping. >> adam, that is the key point. >> that is it that way when i wanted to ask you, ryan -- is there any risk to european supply based upon this new gas that is going to china? >> there is a theoretical risk. first of all, in context, the amount of gas at the russians have disagreed to supply china's about 1/5 of what they are already supplying western europe, so if the western europeans would have magically found a way to diversify completely away from russian gas, which is extremely unlikely, let's see what happens with lng in europe, then the rest of the would still need a lot more than this deal, but it certainly helped them and sends a message to western europe. >> ryan, i want to broaden

also this may like a fly at a for his plans but it's actually a bus in eastern siberia being struck by evil like jet of boiling water not something you want to experience on your commute to work stories and much more online for you right now. i don't think the trick. on our reporters were very. inspiring i. would be in the. more international news in brief now the violent protests have broken out in the turkish city of is still even one person seriously injured police fired tear gas and water cannon after demonstrators from one of top cocktails tension mounted when a small group gathered angry at last week's mine explosion the three hundred and one people did. gunmen armed with machine guns and rocket propelled grenades have attacked the indian consulate in the western afghanistan city of herat at least two policemen have been wounded and two of the attackers killed after and then came back full it's unclear who's behind the incident which comes as nato prepares to hand over security to national forces. a day after seizing power in a coup thailand's military chief has summoned over one

also this may look like a fire at a first glance but it's actually a bus in eastern siberia being struck by a gale like jet of boiling water on something you want to experience on your commute to work all stories a must watch online for you right now. right to see. first street view and i think the true. on our reporters with their. instrument. to be in the cold. for international news and grief now a volume protest has broken out in the turkish city of istanbul leaving one person seriously injured police fired tear gas and water cannon up to protest those pellets of them with molotov cocktails tensions mount it's one small group gathered angry at last week's mine explosion that left three hundred and one people do it. in venezuela and attack on a bus has claimed the lives of seven people and injured several more according to officials on demand it opened fire and killed the driver the rest of the people died after the bus went. the road and crashed the identity of the attackers remains unknown. a series of suicide bombings in iraq's capital baghdad have killed at least thirty two people

on supplying china with gas we've managed to put up a map for you here on the program over siberia and eastern russia we've drawn it up for you so you can see where the pipelines are running to pipelines either under construction or being planned we've got the one in the north area of russia connecting oil fields there to china and one to the very far east as well we're talking about this one will pump gas all the way to vladivostok to be liquid natural gas terminals to be shipped anywhere in the pacific and here on r.t. international will be getting a live reaction on this very very shortly in the meantime at the spying blame game the u.s. plays out with china has begun a new chapter with washington charging five beijing officials with hacking into american companies they're accused of attempting to steal trade secrets of nuclear solar and metal firms something china has called absurd the irony years though comes after america itself had been caught red handed yet again embracing online snooping the latest batch of leaks blames the national security agency for intercepting u.s. made internet

map for you of central and eastern russia that we can well give you the main point for example to pipelines either under construction or being planned we've got a one in siberia we've got one over here in the far east we've also got one in the west as well connecting rich oil fields there to china for example in the east this one will pump gas all the way to a lot of voss stocks liquid natural gas terminals to be shipped ultimately anywhere in the pacific economist and strategist roger nightingale explained how he feels moscow and beijing at the end of the day and natural partners china is the country that has. a huge surplus a country with a surplus has to invest overseas the really big player in the world in the years to come is going to be china i think it's inevitable that russia and china do a great deal of stuff together perhaps that there is a political angle so this perhaps the russians are saying to the europeans and i have to say i would think they're justified in saying yes you should mind your own business of the ukraine and we will underline this point by doing this deal with china. well in the meantime the spying blame game the u.s. plays out wi