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Viewing cable 09VLADIVOSTOK109, SAKHALIN GOVERNOR PUSHEDS FOR MORE COOPERATION WITH U.S.

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Reference ID Created Released Classification Origin
09VLADIVOSTOK109 2009-11-16 00:21 2011-08-24 01:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Consulate Vladivostok
VZCZCXRO8570
RR RUEHCHI RUEHDBU RUEHFK RUEHHM RUEHKSO RUEHLN RUEHNAG RUEHPB RUEHPOD
RUEHSK RUEHYG
DE RUEHVK #0109/01 3200021
ZNR UUUUU ZZH
R 160021Z NOV 09
FM AMCONSUL VLADIVOSTOK
TO RUEHC/SECSTATE WASHDC 1227
INFO RUEHXD/MOSCOW POLITICAL COLLECTIVE
RUEHZU/ASIAN PACIFIC ECONOMIC COOPERATION COLLECTIVE
RUCNCIS/CIS COLLECTIVE
RUEHVK/AMCONSUL VLADIVOSTOK 1332
UNCLAS SECTION 01 OF 02 VLADIVOSTOK 000109 
 
SENSITIVE 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: PGOV EAIR EPET ETRD CMGT RS
SUBJECT: SAKHALIN GOVERNOR PUSHEDS FOR MORE COOPERATION WITH U.S. 
 
VLADIVOSTO 00000109  001.2 OF 002 
 
 
1. (SBU) Summary:  Sakhalin Region Governor Khoroshavin would 
like to strengthen business and cultural ties with the United 
States.  U.S. businesses such as Exxon Mobil employ hundreds in 
Sakhalin, and many local students speak English, but Khoroshavin 
said that U.S. foreign direct investment (FDI) was low compared 
to neighboring countries.  He added that Sakhalin Air was 
searching for a partner to reestablish direct flights to the 
U.S. that could facilitate stronger cultural and commercial 
links.  Khoroshavin said that he was glad there was a U.S. 
Consular Agent in Yuzhno-Sakhalinsk, but repeated his request 
that the U.S. establish a Consulate General there.  He also said 
that Sakhalin enjoyed good relations with Moscow, although the 
financial crisis had decreased the amount of money Moscow gives 
to Sakhalin.  He also said Sakhalin was committed to protecting 
the environment as new oil and gas sources come on line.  End 
Summary. 
 
------------------------------------------ 
Governor Says Ties With U.S. Are Strong... 
------------------------------------------ 
 
2. (SBU) On September 28 Sakhalin Region Governor Aleksandr 
Khoroshavin told us that he was enthusiastic about cooperation 
with the U.S. and wanted it to continue and grow.  He pointed 
out that many U.S. companies such as Exxon Mobil were already 
carrying out projects in the region, employing hundreds of 
specialists in the process.  In addition, Sakhalin hosted the 
Russian-American Pacific Partnership for the fourth time, which 
facilitated increased business cooperation.  Khoroshavin also 
pointed out that many students in Sakhalin study English.  "The 
United States is an important partner for Sakhalin," he said. 
 
------------------------ 
...But Could Be Stronger 
------------------------ 
 
3. (SBU) Khoroshavin, however, pushed for stronger business ties 
between the U.S. and Sakhalin.  He lamented that the U.S. 
accounted for only USD 360 million in investment in Sakhalin 
(USD 40-50 in FDI), while South Korean and Japan accounted for 
over USD 5 billion (USD 150 million in FDI).  He said the U.S. 
could especially invest more in hydrocarbons, oil, fisheries, 
and timber. 
 
4. (SBU) In addition to business cooperation, Khoroshavin argued 
for stronger cultural ties between the U.S. and Sakhalin.  The 
Russian city of Okha in northern Sakhalin used to have an active 
relationship with Kenai, Alaska.  "This should be reactivated," 
he said.  Khoroshavin added that the youth of Sakhalin feel "at 
home" in South Korea and Japan, and would like the U.S. as well 
if more educational and travel opportunities were open to them. 
 
--------------------------------------------- --------- 
Governor Requests Establishment of a Consulate General 
--------------------------------------------- --------- 
 
5. (SBU) Khoroshavin said he was pleased to have a Consular 
Agent in Sakhalin since 2007, but he said the needs of the 
region, along with U.S. citizens and companies there would be 
better served if a Consulate General was established in 
Yuzhno-Sakhalinsk.  He added that many companies, including 
U.S.-based companies, spend a lot of money traveling to 
Vladivostok for consular services. 
 
-------------------------------------------- 
Direct Flights Between the U.S. and Sakhalin 
-------------------------------------------- 
 
6. (SBU) Khoroshavin said he was in favor of reestablishing 
direct flights between Sakhalin and the United States.  Direct 
flights to Anchorage, Alaska, were once possible, but the 
company that offered them went bankrupt.  Sakhalin Air offers 
flights to China, Japan, and South Korea, but is still searching 
for a partner to fly to the United States.  Many Sakhalin 
residents are affluent, he argued, and want to travel to the 
United States. 
 
-------------------------------- 
Sakhalin's Relations With Moscow 
-------------------------------- 
 
7. (SBU) Khoroshavin said that Sakhalin Region enjoyed good 
relations with Moscow.  The financial crisis, however, had 
reduced the amount of money Moscow gave to Sakhalin from USD 16 
billion in 2008 to USD 3 billion in 2009. 
 
------------------------ 
Environmental Protection 
------------------------ 
 
 
VLADIVOSTO 00000109  002.2 OF 002 
 
 
8. (SBU) Khoroshavin told us that Sakhalin was committed to 
protecting the environment as new oil and gas fields come on 
line.  He said that Phase 2 of Sakhalin III, IV, and V have all 
passed environmental inspections.  He also invited us to meet 
with him more often on the issue. 
ARMBRUSTER