Fmirw: Imports of oil and gas from ......... Russia prepares to attack the petrodollar - News - Reality Check. The existence of "petrodollars" is one of the pillars of America's economic might because it creates a significant external demand for American currency, allowing the US to accumulate enormous debts without defaulting. If a Japanese buyer wants to buy a barrel of Saudi oil, he has to pay in dollars even if no American oil company ever touches the said barrel. Dollar has held a dominant position in global trading for such a long time that even Gazprom's natural gas contracts for Europe are priced and paid for in US dollars.
Until recently, a significant part of EU-China trade had been priced in dollars. Lately, China has led the BRICS efforts to dislodge the dollar from its position as the main global currency, but the "sanctions war" between Washington and Moscow gave an impetus to the long-awaited scheme to launch the petroruble and switch all Russian energy exports away from the US currency . It seems that Moscow has decided who will be in charge of the "boomerang".
South Stream returning to Austria. The Memorandum reflects the parties’ intentions to construct the Austrian section of the South Stream gas pipeline with a throughput capacity of up to 32 Bcm/a to the end point in Baumgarten. The gas pipeline will run from the Black Sea coast in Bulgaria through Serbia and Hungary to Austria. It is expected that all required construction permits will be obtained before the end of 2015, with first gas supplies scheduled for 2017. The Austrian section will reach its full capacity by January 2018. “The relevancy and the benefits of South Stream for Europe are undisputed,” said Dr Miller, going on to explain that Gazprom's top priority is to enhance the energy security of European consumers. “In addition, it should be noted that Gazprom and OMV have a sound international legal basis for implementing this project, which is the agreement signed by the Russian and Austrian Governments in April 2010,” he said. Article continues below…
Crimea may yield trillions in oil riches for Russia and Putin. When Russia seized Crimea in March, it acquired not just the Crimean Peninsula but also a maritime claim more than three times its size with the rights to underwater resources potentially worth trillions of dollars. Russia portrayed the takeover as reclamation of its rightful territory, drawing no attention to the oil and gas rush that had recently been heating up in the Black Sea. But the move also extended Russia’s maritime boundaries, quietly giving Moscow dominion over potentially vast oil and gas resources while dealing a crippling blow to Ukraine’s hopes for energy independence. Moscow did so under an international accord that gives nations sovereignty over areas up to 230 miles from their shorelines. Russia had tried, unsuccessfully, to gain access to energy resources in the same territory in a pact with Ukraine less than two years earlier.
“It’s a big deal,” said Carol Saivetz, a Eurasian expert in the Security Studies Program of the Massachusetts Institute of Technology. Rosneft's 'Darth Vader' Lures China To Russia Oil Market. China And Russia Unite "Oil Pipeline Deal" China, Russia gas deal near. Mongolia invites Russia to co-implement projects on constructing railways, auto roads, gas pipelines, power lines and oil pipelines : InfoMongolia.com : News and information about Mongolia, Mongolian language lessons.
Mongolia invites Russia to co-implement projects on constructing railways, auto roads, gas pipelines, power lines and oil pipelines On May 13, 2014, Deputy Minister for Economic Development of Mongolia, Mr. Ochirbat CHULUUNBAT met with his counterpart of the Russian Federation Mr. Aleksey Evgenievich Likhachev in Moscow to exchange views of bilateral cooperation and relations in economical sector. During the meeting Deputy Minister O.Chuluunbat expressed Mongolia’s interest introducing and inviting Russian part to co-implement some projects on constructing railways, auto roads, gas pipelines, power lines and oil pipelines via Mongolian territory.
In response, Deputy Minister for Economic Development of the Russian Federation, A.E.Likhachev stated that if the solutions would be resolved at Governmental-level and if projects’ estimation would be beneficial, Russia is ready to cooperate with Mongolia on above tasks, reports the Ministry of Foreign Affairs of Mongolia. Russia-China Pipeline. Russia and China seal historic $400bn gas deal — RT Business. Iran offers Europe gas amid Russian energy embargo fears. European Union states have few options to diversify away from Russian gas amid more competition from fast growing economies in Asia and a reluctance to embrace fracking. Russian President Vladimir Putin and German Chancellor Angela Merkel discussed the Ukraine crisis in a telephone call Sunday and the supply of gas and its transit, based on the results of a recent meeting in Warsaw. In Warsaw on Friday, Russia threatened to cut natural gas exports to Ukraine in June if it receives no prepayment in a row between Moscow, Ukraine and the EU over energy supplies.
"If we don't receive pre-payment for June by May 31, then it is possible Gazprom will reduce gas supplies to Ukraine or provide it with the capacity it has paid for by May 31," said Russia's Energy Minister Alexander Novak, according to a report by Reuters. Iran is also keen to emphasise the potential role it can play ahead of a renewal of nuclear negotiations this summer. Russia and Iran set to strike $10bn energy deal — RT Business. Published time: April 28, 2014 20:33 RIA Novosti/Dmitry Astakhov Iran and Russia are negotiating a power deal worth up to $10 billion in the face of increasing US financial alienation.
The construction of new thermal and hydroelectric plants and a transmission network are in the works. Iran’s Energy Minister Hamid Chitchian met his Russian counterpart Aleksandr Novak in Tehran on Sunday in order to discuss the potential power deals, according to Iran’s Mehr news agency. “[Expansion of] Iran-Russia relations are not only to the benefit of the two nations, but also are beneficial to entire region,” Iranian President, Hassan Rouhani, stated in a meeting with Novak in Tehran on Sunday, reported Iran’s FARS news agency. Plans include the construction of hydroelectric and thermal generating plants and a new transmission network. Moscow has additionally been discussing the trade of 500,000 barrels a day of Iranian oil for Russian goods with Tehran. Russia says no oil-for-goods deal yet with Iran. No Iran-Russia rivalry in Europe gas supply: Official. This file photo shows installations on the way of Russia-Ukraine gas pipeline.
A senior Iranian oil official has dismissed speculations that Iran may be seeking to displace Russia in gas supply to Europe amid Moscow’s threats of gas cut over the crisis in Ukraine. Ali Majedi, Iran’s deputy minister of oil for international affairs and trading, made the remarks on Sunday as Russia constantly warns of a possible cut in natural gas deliveries if Kiev fails to pay its debt to Moscow. “Iran envisages long-term projects with regard to gas exports,” said Majedi. “Iran is looking for a win-win gas deal with European countries.” The official said Iran, which sits atop the world’s largest gas reserves, enjoys the potential to be a long-term gas supplier to European countries.
Majedi said Turkey would be the “most economical route for transit of gas to European countries.” He said on May 8 that the level of Iran’s natural gas exports to Europe would vary from 4 to 50 million cubic meters (mcm) per day.