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YUKOS EXPORT CUT PROVOKES KREMLIN
Russian oil giant Yukos is stopping most of its exports to China, saying that it cannot pay the transport costs.
The company, which pumps a fifth of Russia's output, is in dispute with Russian authorities over tax demands and has had its bank accounts frozen.
Analysts said Yukos' action was a ploy designed to put pressure on the Kremlin ahead of a visit to Moscow by China's Prime Minister Wen Jiabao.
The news helped push US light crude prices up 44 cents to $46.03 a barrel.
London-traded Brent crude was 26 cents higher at $42.71 a barrel.
Banned
Yukos said it planned to trim about 400,000 tonnes a month, or 100,000 barrels a day, from its exports to China - roughly 4% of Chinese demand.
The move could mean a renewed surge in energy costs, given soaring demand from China's booming economy, analysts said.
Last Updated: Monday, 20 September, 2004, 13:04 GMT 14:04 UK
BBC NEWS
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roadtrip 
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