(China Military News cited from Bloomberg and written by Henry Meyer) -- OAO Gazprom, Russia's gas export monopoly, may ship fuel from the Kovykta field to China after buying the license to the eastern Siberian deposit from a unit of TNK-BP at a bankruptcy auction.

Kovykta may serve as a "priority" resource base to supply China, Energy Minister Sergei Shmatko told reporters today in Moscow.

The unit, Rusia Petroleum, filed for bankruptcy after TNK- BP, the Russian oil venture equally owned by BP Plc and a group of billionaires, demanded repayment for loans to develop the field in May of last year amid threats from the government to revoke the license over missed output targets. TNK-BP said the local market couldn't absorb the required volumes, while Gazprom blocked plans to build a pipeline to Asia.

Gazprom said last year it wouldn't need Kovykta for either exports or domestic use.

Gazprom offered 22.3 billion rubles ($780 million) for the Rusia Petroleum assets, TNK-BP Chief Financial Officer Jonathan Muir said after the March 1 auction.

TNK-BP had agreed to sell its stake in Kovykta to Gazprom in 2007 for $700 million to $900 million under a deal that foundered amid disputes over the price.