Base-pair Molecules Wealth, energy, military, finance, banking, Space, satellites, education, IT, chemicals, microelectronics, water, agriculture, transportation, infrastructure, and a common dream, while confronting a common enemy are the significant molecules. Upon these markers, the Double Helix was formed. It was a process, not a sudden event. But it was evident in 2014 as a repeated event. It was to geopolitics as Sochi was to sport. It was unique and it happened.
Let's visit these 'molecules' and look at what has transpired just in this momentous year of 2014.
We'll turn on the lights with energy molecules. Oil, gas and coal, nuclear and LNG acquisition, provisioning, transport, pipelines, storage, exploration, resource development, innovation and technological development, and, probably, reverse engineering of Western tools, as well as investment, loans, advanced payments, equity purchases, and job creation. The following 'deals' are 'base paired', not merely supply-purchase deals. This is far beyond vendor-customer in nature.
Gas:Two gigantic projects, the Power of Siberia and the Altai Pipeline.
The first is in Eastern Siberia. It will deliver gas from terminal in Vladivostok to China, and at Blagoveshchensk across Amur River. It was signed May 21, 2014 between Gazprom and CNPC. It is a 30-year deal, later extended 5 years by agreement in October.
The second project is in Western Siberia and will bring gas to North-western China. Gazprom and CNPC signed the deal originally in 2006, it was put on hold, restarted in 2014 at APEC by Putin, November 9th.
What is key to these are the establishment of infrastructure, manufacture and supply of pipe, construction crews, job creation in support of two of the largest projects in mankind's history, simultaneously. This along a border that historically has been a hotspot, where wars have been fought between the two nations. Presidents Putin and Xi said do it. It is being done.
September, it began with Russian shovels and Chinese advance payments, $25 Billion. Once connected, the two nations will receive 'marrow' transfers each requires to continue growth. Siberia and the Far East come alive as viable sectors of the Russian economy; China receives clean energy and moves people into its Northwest and North, and some into Far East Russia. Its foreign investments in Russia pay dividends, and Chinese capital grows. The plans go deeper, and involve more than finance, acquisition of commodities and exploitation of natural resources. More, later, in this energy section.
Oil: Rosneft has access to Chinese 'advance payments' and is accessing them to pay its off-shored loans coming due in December and first quarter 2015. This mechanism is a product of deals signed in early 2014. The loans were to buy TNK-BP for $31 Billion and are not a result of falling prices. The acquisition deal was encouraged by China, and China indicated at the time it would buy equity in Rosneft so the liquidity to complete the deal was in Rosneft's hands in timely fashion. These agreements now seem prescient as the economic war ensues using oil price collapse, off-shore credit denial and rubble shorting in Forex trading.
China has now received much greater supplies of Russian oil and an increased involvement with Rosneft shares and has an alliance to develop technologies in exploration, drilling, extraction and transport. Rosneft and CNPC, likewise, are seen to be less rivals for oil and more partners. This has been indicated in the works for Arctic exploration and development and off-shore Crimea for oil and gas.
Coal: Siberian and Far East coal development, Rostech and Shenhua Group agreed to explore and develop coal deposits in Siberia and Far East. They will construct coal-fired plants that will sell electricity in Russia, China and other Asian countries.
The two companies will also build a marine coal terminal at Port Vera in the Primorsky Territory, Far East. That project begins 2015, operational 2018-2019.
They will build high voltage transmission lines to China. Social and transport infrastructure will be developed concurrently.
So, this coal 'deal' is not a typical commodity deal. It is long-term, and builds the Far East and North China. It brings a permanent electrical utility produced in Russia to the people and industries of China. It expands a port; it uses trucks, rail, and GPS systems that are co-developed.
Nuclear: Rosatom will build Tianwan NPP (nuclear power plant), 7th and 8th power blocks. They are already building 3rd and 4th power blocks. They will build in Harbin two power units. Rosatom may participate in VVER reactors (pressurized water) with two fast breeder reactors, floating nuclear power plants. Presently, China has deals with Westinghouse for 26 nuclear units. Clearly, the Chinese would prefer to have their inland reactors Russian-design and supplied than locked into Westinghouse technology. (The two are different and fuel sources are particularly mutually exclusive, as Ukraine is finding out as it turns to the U.S. for refuelling.)
LNG: Construction of a plant in Northern Russia. Yamal LNG and CNPC and development of South Tambeiskoye field. Equity stake for China in Vladivostok LNG is part of the deal.
Things that fly 
Some military, some dual use, some civilian.
But we'll begin with GPS and see how the 'Double Helix' is working in Space.
Satellites: Both China and Russia have GPS satellite systems. GLONASS is the Russia system. Beidou is the Chinese system. The Russian system is larger, more mature and covers the entire globe. The Chinese system is new, limited in coverage and not mature nor densely accurate. The Chinese often do things in measured, metric, stages. An agreement to place ground stations inside China by Russia will give China a global GPS capability for its defence and second strike weapons, as well as for its commercial use for the world's soon to be largest navy and the world's largest most diverse ocean and fishing fleet. (Two teens swapping kisses couldn't get closer.)
Russia will put GLONASS stations in one of China's airfields and on a navigable river as pilot projects to develop cooperation in the field of navigation. The airport project will aid landing and signal monitoring systems using zonal-navigation methods that will be working on GLONASS and Beidou constellations. (It should be noted that most airfields in China are dual-use military-civilian and the PLA controls most traffic in the air.) Russia's advanced systems and experience will enable training for Chinese air traffic controllers and aero navigation teams to learn modern satellite technologies. The river navigation project will monitor and correct and track boats on internal water routes.
Auspiciously, Beidou was named for the Great Bear constellation.
Space: Roscosmos Federal Space agency. China is interested in building Russian rocket engines and joining manned space exploration, navigation satellite and remote sensing projects. Production of electronic component parts, materials science, construction of spacecraft and rocket engines are in the works. Exchange of manned spacecraft visits to Russian and Chinese orbiting stations and joint expeditions to deep space are beginning talks. Space is a battlefield according to the U.S. defence doctrine. The Double Helix sees dual use potential.
Aircraft: Nov. 11, 2014, Aviation Industry Corp China and Rostec signed an agreement. Russia and China are forming a working group to carry out a project to distribute products, and prepare and implement projects in Russia, China, and 3rd countries, and to provision for warranty servicing and ensuring post-warranty service of equipment. This creates strategic cooperation in development of aircraft, helicopters, engines, aircraft materials, avionics and radar equipment. This brings a new phase and transition to comprehensive cooperation between two state-owned corporations.
Long haul aircraft: Joint venture, similar to Russian-Italian JV for Sukhoi SuperJet 100. $10 Billion project to compete with Boeing and Airbus.
Dual use aircraft heavy helicopter: Russia and China will build a heavy helicopter probably based on the Mi-26 from Russian Helicopoter-Rostvertol. It will be for China and third parties, initially.
S400: Triumf air defence missile systems; six battalions. Delivery will be in 2016, $3 Billion. Rosboronexport and Chinese Defence Ministry signed on 11-26-14.
China gets state of the art missile defence. This nullifies Japan's air power, U.S. air power, and protects the Double Helix's Asian Pacific flank. Nothing in the missile defence arsenal of any nation is as important as this system, and now, China will get it.
Russia is building the S500 for itself. That is the nature of technology capacity intrinsic to Russia. It has marched for forty years with derivations, updates, refinements and new systems that have protected the Motherland and the territories of its allies. Russian defence is the world standard.
Now, from the Arctic to Vietnam, Russia and China will have a defence system facing the U.S. Navy and U.S. Air Force missile command. Similarly, these systems will proliferate along the New Silk Road as Eurasia infrastructure develops. Force multiplication for Russia's southern underbelly on China's investment means a safer more secure Russia.
Submarines: AIP technology, propulsion acoustic stealth and long duration submergence technology transfer with the sale of an Amur 1650. Air-independent propulsion using electrochemical generators and new combat systems for electronic warfare, a passive antenna sonar to detect silent targets at long range make this a submarine platform for defensive second strike (MAD). Russia is pursuing this sea-based deterrence and China also is expanding its extensive submarine fleet for a second deterrence platform system. Recent test of Russian Bulava ICBM from submerged sub, the Vladimir Monomakh, signaled capability for Russia. This transfer of technology assures that China will have it also. An Amur 1650 would be equipped with 18 missiles. China has been testing recently mirv-ed warheads for its missiles.
This deal calls for 4 submarines, joint development and construction, to begin 2015, 2 built in Russia, 2 built in China.
IT and Microelectronics: Russian rocket, space and defence enterprises will buy electronic components from China worth $1 Billion. Working with China Aerospace Science and Industry Corp for dozens of items as alternatives to U.S.-sourced parts. Russia will need to purchase these alternative items for 2-2.5 years until their own industry can manufacture electronic components that are radiation-resistant for Space and match military standards for mil systems. This has been a $2 billion American supply in the past.
Technology Parks: October 14, 2014 a memorandum to jointly build high-tech parks in each country to further innovation in science and technology. In Shaanxi, China, in the town of Xixian Fendong, a technology park of four square kilometers, and in Moscow, at the Skolkovo Innovation Center, 200,000 sq. meters of buildings will be built. Satellite offices for the Chinese park in Beijing, Shanghai, Guangdong and Heilongjiang will follow on. In Russia, offices in Kaliningrad, Vladivostok and the Russian republic of Tatarstan. Two sovereign wealth funds, the Russian Direct Investment Fund, and the Chinese Investment Corporation are leading the investments.
Cyber Security: International cyber security agreement is set for first half 2015. Prevention of cyber incidents developing into full-scale conflict, collaboration in the operation of nation Internet segments, closer interaction on international platforms dedicated to cyber security issues. It is going to be broader than a cyber non-aggression pact. The Russians and Chinese are discussing a new Internet to break the monopoly and intrusion by the U.S. and NSA, CIA, etc.
Education: 100,000 student exchange program. Already 25,000 Chinese in Russian higher education, 15,000 Russians in Chinese education and internships.
Far Eastern Federal University will teach Russian to Chinese students.
Joint University in China will have Moscow State University curriculum as core. Already Moscow State and Beijing University of Technology will open a university in the city of Shenzhen. Will open in Sept. 2016.
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