Russia’s Sakhalin Energy project has posted a $1.266 billion profit for the first half of 2010. Reuters reports on Sakhalin’s extreme weather conditions and fears that a spill in Arctic conditions could create an unsolvable catastrophe. Gazprom is inviting tenders for the Bulgarian section of the South Stream gas pipeline. China’s oil companies are responsible for a fifth of all deal activity in the oil and gas industry this year, says the FT, part of its huge domestic appetite for natural resources. Power outages are frequently imposed on Chinese factories to try and conserve energy, although this is creating a diesel shortage as plants use less efficient generators to get them through the blackouts. Chevron is seeking to woo Turkmenistan due to the ‘huge potential‘ of its energy sector. The company is one of 37 that submitted applications for licenses to explore in the Norwegian shelf. India and the United States have agreed to cooperate on energy projects, and will jointly fund a special research center on clean energy in India.