The Trans-Alaskan pipeline was built in the 1970's and became the world's largest pipeline upon its completion. At 800 miles long, the pipeline transports crude oil from wells along the Arctic Ocean, South to Valdez where ships carry it Southward and Eastward through the Pacific. However, even as skyscrapers today are far surpassing the megalithic structures of the 20th century, Russia is ready to one up the U.S. and began on Sept. 1 construction on what will become the new world's largest pipeline, stretching 3968 km from Eastern Siberia directly to designated distribution points in China.
This new pipeline has many aspects and inferences to it, as it will allow the unfettered flow of oil from Russia to China and aid in carrying out the parameters of Russia's holy grail oil agreement made with China back in March. Additionally, the pipeline will work as a deterrent to potential terrorism and sabotage that may come from locations where their pipelines currently reside in Ukraine and South into the Baltic States.
Overnight, following a grand ceremony in the Siberian city of Yakutsk, Russia and China officially began the construction of a new gas pipeline linking the countries. The bottom line to Russia - nearly half a trillion after China's CNPC agreed to buy $400bn in gas from Russia's Gazprom back in May. In return, Russia will ship 38 billion cubic meters (bcm) of gas annually over a period of 30 years. The 3,968 km pipeline linking gas fields in eastern Siberia to China will be the world's largest fuel network in the world. - Zerohedge
Besides the signing of a nearly half trillion dollar oil agreement, Russia and China have also opened up energy markets to the option of purchasing oil and natural gas in either the Yuan or Rouble, which summarily ends the proprietary petro-dollar system that has reigned over the global financial system for around 40 years.
It is interesting to note that as the West curbs their expansion of energy production and sales, as seen by President Obama's veto of the Keystone Pipeline out of Canada, the East is building newer ways for both travel and trade through the construction of a new Siberian pipeline and the Silk Road highway. And while it appears almost certain that the future of global trade and finances will emerge out of Eurasia in the coming years, the only question that remains to be asked is how long Europe will sit idly by before ending their long-standing partnership with the U.S. and jump on board the growing new economy?