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in keeping with what i've already said about the regaining of superpower status by russia, she has the european union in her pocket without ever firing a shot. she is also undermining the u.s.'s ability to "project power abroad" by arming the iranians and venezuela


Russia’s Gazprom Threatens to Halt Gas Supplies to Europe
20.04.2006 11:59 MSK (GMT +3), Updated: 12:00 MSK
MosNews

Russia’s state-controlled natural gas monopoly Gazprom said on Wednesday, April 19, that if European Union countries continue to block its international ambitions it could redirect gas supplies to other markets. The move comes after the British Financial Times newspaper reported that the British government wanted to legislatively block Gazprom’s acquisition of Britain’s biggest gas supplier Centrica.

In a statement after a meeting between Alexei Miller, Gazprom’s chief executive, and EU ambassadors, the company said: “It is necessary to note that attempts to limit Gazprom’s activities in the European market and politicize questions of gas supply, which in fact are of an entirely economic nature, will not lead to good results.”

As MosNews reported earlier this week, the Financial Times learned that the U.K. government had considered changing merger rules to block a potential takeover of Centrica, Britain’s biggest gas supplier, by Gazprom.

Gazprom’s CEO met ambassadors of the 25 EU states in Moscow on Tuesday, April 18, to discuss Gazprom’s relations with Europe, and insisted the world’s largest gas producer understood its responsibilities as supplier of a quarter of the EU’s gas.

Wednesday’s statement by Gazprom threatened to devote more of the company’s supplies to fast-growing markets elsewhere if plans to expand in Europe — where it has ambitions to move into downstream gas distribution — were thwarted. “It should not be forgotten that we are actively familiarizing ourselves with new markets, such as North America and China. Gas producers in central Asia are also paying attention to the Chinese market. This is for a reason: competition for energy resources is growing,” it said.

Gazprom said that, while it would fulfill its current contracts with European clients, any future relationship with these countries should take into account the Russian company’s ambitions to move into the downstream markets. Sergei Kupriyanov, a spokesman for Gazprom, told the Financial Times: “We just want European countries to understand that we have other alternatives in terms of gas sales. We have a fast-growing Chinese market, and a market for liquefied natural gas in the U.S. If the European Union wants our gas, it has to consider our interests as well.”

Gazprom’s threats follow an outline agreement between Russia and China to supply the Chinese market with gas from Western Siberia, which is also the main source of gas for Europe. Given that Gazprom’s reserves have been static for the past five years, the supply of gas to China will decrease the volume of gas available to European countries.

Gazprom has made no secret of its ambition to supply up to 20 percent of the U.K.’s gas by 2015.
Other European countries have also expressed concerns about Gazprom’s plans to take a share in their domestic markets. The EU earlier indicated it would be prepared to let Gazprom into its downstream market if Russia were to liberalize access to gas pipelines to other countries and independent producers— a prospect that Gazprom has ruled out.




Russia will deliver air defense systems to Iran - top general

RIA Novosti
Moscow
Wednesday, April 19, 2006

The chief of the General Staff said Wednesday that Russia would honor its commitments on supplying military equipment to Iran.

"We discussed supplies of military equipment to Iran, including the Tor M1, in the framework of bilateral cooperation, but it does not fall into the category of strategic weapons," Army General Yury Baluyevsky said after talks in Moscow with NATO Supreme Allied Commander in Europe General James Jones.

"And I can assure you it will be delivered under the control of the relevant organizations," he said.

At the end of 2005, Russia concluded a $700-million contract on the delivery of 29 Tor M1 air defense systems to Iran.

The Tor-M1 is a fifth-generation integrated mobile air defense system designed for operation at medium, low and very low altitudes against fixed/rotary wing aircraft, UAVs (unmanned aerial vehicle), guided missiles and other high-precision weapons.

Despite strong criticism from the United States, Russia has maintained that the systems could be used only to protect Iran's air space.

Baluyevsky also said Russia's Armed Forces would not be involved in any military conflict in Iran.

"I do not think the conflict [in Iran] will turn into a war," he said. "Russia will not propose the use of its armed forces in a potential military conflict on either side."

Baluyevsky said he did not discuss the Iranian nuclear program with Jones, although the issue is "on everybody's mind."

Meanwhile, Iran's Defense Minister, Mostafa Mohammad-Najar, said Wednesday that his country would go ahead with its non-military nuclear research because it was a legitimate right of the Iranian people.

The Iranian official is currently on a three-day visit to the neighboring Central Asian republic of Azerbaijan to discuss bilateral cooperation in the defense sphere.
Iran's president, Mahmoud Ahmadinejad, will attend a summit of Economic Cooperation Organization, a regional cooperation body, in the capital of Azerbaijan, Baku, on May 4-5.


Russia to sell state-of-the-art Kalashnikovs to Venezuela

MOSCOW. April 15 (Interfax) - The Russian state arms trading agency Rosoboronexport has denied reports by a number of U.S. media alleging that Russia will sell outdated Kalashnikov assault rifles to Venezuela instead of modern ones, as it promised to do earlier.

"We would like to express our surprise and even outrage at an April 10 article published in the Washington Times. The allegations it makes are untrue and absolutely absurd," Rosoboronexport spokesman Valery Kartavtsev said at a press conference on Saturday.

According to a contract signed in May 2005, Russia will sell 100,000 AK-103 rifles to the Venezuelan army and security forces, Kartavtsev said. "Not a single rifle of this model has yet crossed the Russian border," he said.

Venezuelan experts recently visited the Izhmash engineering plant to inspect the first shipment of the Kalashnikovs, he said.

The contract also envisions the licensed production of AK-103s in Venezuela. "Venezuela will become the first country in the western hemisphere to receive a license to produce them," Izhmash General Director Vladimir Grodetsky said.

Currently there is no licensed production of Kalashnikov assault rifles in any other country, he said. va



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Haha brits having a taste of their own medicine dont bother me. BP has been doing what Gazprom is attempting for last 60 years. Putin is a smart man.
 

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Discussion Starter #3
Vili said:
Haha brits having a taste of their own medicine dont bother me. BP has been doing what Gazprom is attempting for last 60 years. Putin is a smart man.
yes he is smart and being kgb he is also privy to info we are not. russian officials are smart enough to see the path this is why he went after mikhail khodorkovsky and seized yukos oil and continues to have a tight grip on power.
 

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hrmm .. a guy that played around the tax thing and tried to bring US style 'democracy' to Russia, he was right to be jailed. If he did in any other european country what he did in russia, he would be a poor poor man for the rest of his life.
 

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Discussion Starter #5
Vili said:
hrmm .. a guy that played around the tax thing and tried to bring US style 'democracy' to Russia, he was right to be jailed. If he did in any other european country what he did in russia, he would be a poor poor man for the rest of his life.
he's in the russian gulag, how much poorer can he get?
 

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Hardly noteworthy. I haven't researched to see how much natural gas Gazprom sells to the UK but that is not important. Demand in the short term is pretty much fixed so if Gazprom sells its natural gas to another country, that country's previous supplier will be looking for new buyers (the UK).
 

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JamieJames said:
Hardly noteworthy. I haven't researched to see how much natural gas Gazprom sells to the UK but that is not important. Demand in the short term is pretty much fixed so if Gazprom sells its natural gas to another country, that country's previous supplier will be looking for new buyers (the UK).
it is not about export to UK, its that EU won't let gazprom take over any european controled oil corporations. Gazprom is a major exporter to EU, and will likely play a big role in UK in near future.
 

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Vili said:
it is not about export to UK, its that EU won't let gazprom take over any european controled oil corporations. Gazprom is a major exporter to EU, and will likely play a big role in UK in near future.
Gazprom is threatening not to sell (export) to the UK. So if the UK blocks the purchase and Gazprom sells to China and the UK buys from someone else, what's the problem?
 

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JamieJames said:
Gazprom is threatening not to sell (export) to the UK. So if the UK blocks the purchase and Gazprom sells to China and the UK buys from someone else, what's the problem?
Where does the UK(and EU) buy from? think about it
 

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Discussion Starter #11
JamieJames said:
Hardly noteworthy.
russia just annouced that it will crush europe economically and you say "hardly noteworthy". excuse me a sec.....bwahahahahaha!!

fool, did you ignore how close the u.k. came to running out of gas last winter? remember ukraine? belarus? tsk tsk tsk, how soon we forget.




JamieJames said:
I haven't researched to see how much natural gas Gazprom sells to the UK but that is not important.
gazprom and how much gas is supplied to europe by them is not the total issue. what is important is that gazprom is state controlled and therefore it would be safe to assume that all russian suppliers would put pressure on europe if the state so desired.

a quick search and according to a bbc article Gazprom already supplies about half the European Union's gas...'nuff said

JamieJames said:
Demand in the short term is pretty much fixed so if Gazprom sells its natural gas to another country, that country's previous supplier will be looking for new buyers (the UK).
if you wish upon a star...
 

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Russian petroleum supply logistics are a joke. The chances of Russia being willing and able to control and undermine global petroleum supplies without causing vastly more problems for themselves is nill. Pure sensationalism.
 

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Uh-huh, 'cept it is about natural gas, not oil.
 

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made Man said:
Uh-huh, 'cept it is about natural gas, not oil.
I understand that entirely and my view is to “Russian petroleum supply logistics” in their entirety, of which natural gas is very closely related, and is of course a fossil fuel based hydrocarbon.
 

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Vili said:
Where does the UK(and EU) buy from? think about it
I have thought about it. So the countries that were previously selling to China, that Gazprom displaced, who would they sell to? The British. It's natural gas musical chairs. Think about it.
 

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JamieJames said:
I have thought about it. So the countries that were previously selling to China, that Gazprom displaced, who would they sell to? The British. It's natural gas musical chairs. Think about it.
Uh-huh, 'cept you need tubes to deliver the said gas (it isnt trasfered via ships ;) ). GAZPROM has the said lines. China is a faaar from Europe and GB ;)
 

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JamieJames said:
I have thought about it. So the countries that were previously selling to China, that Gazprom displaced, who would they sell to? The British. It's natural gas musical chairs. Think about it.
uhh .... you do realise that nobody was displaced. china is thirsty for oil and gas.

Basically demand is greater than production, therein lies the problem.

And lets say there are fields found in africa, transfering energy by ships is inefficient. Pipes need to be built, which takes time.

I am not trying to be mean here, but really think about what the root of the problem is.
 

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Discussion Starter #18
made Man said:
Uh-huh, 'cept you need tubes to deliver the said gas (it isnt trasfered via ships ;) ). GAZPROM has the said lines. China is a faaar from Europe and GB ;)
10-4, this is why the uk is building more LNG terminals. once russia cuts 'em off and the north sea finishes it's rapid decline, they'll have no choice but to ship it in, that is if there is much on the markets to buy. i think that eventually LNG will become extinct as gas demand in all regions and continents will keep the gas use local, why ship it when it can be sold to a neighbour.
 

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Discussion Starter #19
Chumly said:
Russian petroleum supply logistics are a joke. The chances of Russia being willing and able to control and undermine global petroleum supplies without causing vastly more problems for themselves is nill. Pure sensationalism.
chumly, welcome to the debate, it's nice to see other opinions in this debate other than JJ. :horse


yes, their logistics may be a joke but having the ability to turn them off is not. they've already done it outright to ukraine and belarus which led to disruptions down the line in europe. i'm sure the russians were aware that this would affect downstream customers yet they went ahead and curbed supplies anyway, albeit for a short period. either way, they now have a very powerful veto card when it comes to virtually anything the europeans would endeavour.

they may not be able to undermine global supplies but they can in europe and asia if they so desired. the global supplies they can only disturb. if they actually had much to lose they might actually play a fair game. because the west played hardball during the 80's-00's, they will return the favors we gave to them, they have nothing to lose and we are in a no win situation.
 

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Discussion Starter #20
Russia Should Cut Oil to Europe, Cut Discounts on Urals Crude — Transneft

Created: 24.04.2006 12:32 MSK (GMT +3), Updated: 12:32 MSK

MosNews

Russia’s planned oil pipeline to Asia will help cut deliveries to Europe, which is currently being oversupplied with Russian crude, the head of Russia’s pipeline monopoly Transneft told a newspaper, the Reuters news agency reported.

“We have overfed Europe with crude. And every single economic manual says that excessive supplies depress prices,” Semyon Vainshtok told the daily Nezavisimaya Gazeta in an interview published on Monday.

“As yet we cannot reduce supplies, as all our exports are going to Europe. But as soon as we divert (flows) to China, South Korea, Australia and Japan, that will immediately take away crude from our European colleagues,” he added.

Vainshtok has repeatedly said that building a pipeline to Asia would help diversify Russian oil flows and cut discounts on the country’s mainstay Urals crude blend in European markets.

His new comments are likely to come under much closer scrutiny after another Russian monopoly, state gas behemoth Gazprom, shocked Europe last week by saying it would supply gas elsewhere if its expansion in Europe was blocked.

The European Union said Gazprom’s threats only confirmed Europe’s views that it needed to diversify its energy imports.

Russian critics say Gazprom’s comments mean the Kremlin is increasingly active in using energy as a weapon in a situation when Europe relies on Moscow for a quarter of its gas needs and Russia produces every ninth oil barrel in the world.

Vainshtok said Transneft planned to use a shipping fee of $38 per ton of crude oil on the Asian-Pacific pipeline route to make it competitive with current fees paid on the route to the Black Sea port of Novorossiisk.

The $11.5-billion pipeline will ship 600,000 barrels per day at the first stage, mainly to China, with supplies rising to 1.6 million bpd at the second stage, when a big terminal is build on the Russian Pacific coast.

Vainshtok said his firm would borrow 13.4 billion roubles ($487.1 million) from state bank Sberbank and another $2 billion via a five-year loan from Western banks. The firm had previously planned to borrow up to $6 billion from Western banks, led by Barclays.



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