Minister says Turkey regional gas hub will be operational by 2025
The Turkish Energy Minister said that Turkey and Russia are currently in talks to reach a deal for a hub in Istanbul. This hub could start operating in 2025.The Turkish government, which announced its intention to become a hub for gas by increasing imports and exports is currently negotiating deals with both producers and consumers.In an interview published by the Turkish newspaper Milliyet on Friday, Energy Minister Alparslan Bayraktar stated that "we have established a strong infrastructure" for a trading system which could be operational as early as 2025 at Istanbul Finance Centre.Bayraktar stated that "we sent (Russian) a memorandum-of-understanding"…
US lawmakers question the SLB of oil service companies' exemption from Russian sanctions
Dozens U.S. Both political parties sent representatives to urge the Biden administration on strengthening sanctions against Russian oil shipments. They also questioned the exception granted to SLB, the largest oilfield service company in the world to operate within the country. The U.S., Europe and other countries have been trying to reduce Moscow's revenue from energy for the fight against the war since the 2022 Russian invasion of Ukraine. This led several oilfield services companies to leave Russia, but SLB remained in the country and helped keep Russian oil flowing.
Serbian Vucic thanks Putin over natural gas supplies
On Sunday, Serbian President Aleksandar Vucic thanked Russian president Vladimir Putin for helping to secure enough natural gas supplies for his country's winter. A three-year contract for gas supply between Russia and Serbia expires on March 20, 2025. Vucic, Putin’s closest European ally, explained that the phone call was the first in nearly two-and-a-half years. It marked the 80th Anniversary of Belgrade’s Liberation from Fascism, and also discussed bilateral issues. He said, "I would like to thank him in particular for his help... Serbia…
Russia replaces foreign gas turbine technology with its own high-capacity, Russian-developed gas turbine
The Russian government has developed its own alternative technologies to Western technology that it cannot import. Vladimir Putin inaugurated the new unit of the Udarnaya Power Station in southern Russia via video link, during a ceremony broadcast on state television on Wednesday night. Putin stated that it was important that "we have new production plants and that we become independent, technologically sovereign, at least in the segment," he said. Previously, the majority of new power plants in Russia were based on gas turbines manufactured by foreign manufacturers such as Siemens, GE, and Alstom.
Document shows that Russian oil and gas revenues will decline in 2025-2027 due to a reduction in tax burden for Gazprom.
A draft budget released on Monday shows that Russia's oil and gas revenues are expected to decrease in 2025-2027, due mainly to the easing of the tax burden for the country's biggest gas producer Gazprom. The budget document states that the total budget revenue expected from oil and natural gas sales will decline from this year's 11.3 trillion Russian roubles to 10.9 trillion (117.53 billion) roubles in 2025, or 5.1% of GDP. The revenue is expected to drop further, to 10,56 trillion roubles by 2026, and to 9,77 trillion roubles by 2027. The Russian parliament will debate the draft budget.
Putin praises cooperation with OPEC+ and BRICS
Vladimir Putin, the Russian president, said that on Thursday his vast energy sector would be able achieve its goals as well as overcome "illegal", western sanctions. He also praised ties with BRICS groups and OPEC+. The Russian oil and natural gas industry accounts for about a third (or more) of the total budget revenue. It has been vital to the economy in a country that is facing multiple sanctions by the West due to the conflict with Ukraine. Putin, speaking at the Russian Energy Week forum, praised the cooperation with BRICS, which Moscow views as a counterbalance against the West. He also added that Russia would continue to cooperate with OPEC+ producers of oil.
Putin wants BRICS to play a greater role in the global energy dialogue
On Wednesday, President Vladimir Putin called for a greater role for the BRICS group on global energy markets. Russia is looking for ways to counter Western influences. The Energy Week International Forum will be held in Russia this week. It is also expected to host a meeting between the energy ministers of the BRICS countries. In a letter addressed to participants and guests of the forum, Putin stated that it was "obvious" that cooperation in the energy industry would serve to improve the quality of life for people, strengthen national economies and solve social problems.
EU's von der Leyen announces 35 bln euro loan in Kyiv visit
Ursula von der Leyen, President of the European Commission during her visit to Kyiv last Friday, announced a loan for Ukraine up to 39 billion dollars ($35 billion), saying that it was necessary to protect the country from Russian attacks and to help it survive the winter. Zelenskiy, standing next to her, said that the loan will be used for energy procurement, air defences, and arms procurement. He urged his allies, at the press conference, to approve a "victory strategy" he had drafted by the end the year. Von der Leyen, who was visiting Kyiv to begin her second term as the head of the executive branch of the European Union…
Andy Home: Nickel market is no longer worried about Russian supply
The market has shrugged off the suggestion by Russian President Vladimir Putin that Moscow could consider capping nickel exports in retaliation to Western sanctions. The London Metal Exchange's (LME) 3-month price managed to make a slight bounce above the $16,000 per metric ton mark, but momentum is fading. It's a long way from the first Russian invasion of Ukraine in February 2022. The fear that sanctions could be imposed on metal produced by Russian giant Norilsk Nickel sparked a massive rally in 2022, which culminated in a complete meltdown of LME nickel. Two and a half year is a very long time on the nickel market.
Russia is considering limiting metals exports to the West
In response to Western sanctions, Russian President Vladimir Putin suggested this week that Moscow limit exports of metals or other commodities in which Russia has a large share on global markets. Putin mentioned uranium and nickel as well as titanium, but suggested that other commodities could be restricted, pointing out that Russia is a major producer for natural gas, diamonds, and gold. Putin said that any restrictions do not have to be immediately implemented and they should not harm Russia. Commodity exports provide a major source of foreign currency income for many of Russia's biggest companies. This includes state-owned Rostec, Rosatom and Nornickel.
Putin: Russia should restrict exports of uranium and titanium
On Wednesday, Russian President Vladimir Putin stated that Moscow could consider limiting the exports of uranium and titanium in order to retaliate against the West. In comments made to government ministers via televised broadcast, he stated that such restrictions could be implemented for other commodities. He noted that Russia is a major producer in natural gas, diamonds, and gold. He said that the measures needed to be taken today, but not "tomorrow" and they must not harm Russia. "Please look at the goods we provide to the global market... Perhaps we should consider certain restrictions, such as uranium or nickel," Putin said to Prime Minister Mikhail Mishustin.
Putin and Serbian deputy PM discuss gas contract
Vladimir Putin, the Russian president, said that he planned to discuss with Serbian Vice Prime Minister Aleksandar Volin a contract for gas supply that will expire in March 2025. Putin and Vulin met at the Eastern Economic Forum, in Russia's far-eastern port of Vladivostok. Serbia, which NATO bombed during the war in Kosovo in 1999, has historical close ties with Russia, but also aspirations to join the EU. Serbian President Aleksandar Vucic, since Russia's full scale invasion of Ukraine 2022, has walked a thin line between condemning Russian military action and refusing to join European sanction against Moscow.
Putin visits Mongolia to establish key link in gas pipeline planned for China
The Kremlin announced on Monday that Russian president Vladimir Putin was in Mongolia for a visit of state. Mongolia is on the planned route of a new gas pipeline between Russia and China. Since years, Russia has been discussing the construction of a pipeline that will transport 50 billion cubic meters (bcm), or natural gas per year, from its Yamal Region to China via Mongolia. Power of Siberia 2 is a part of Russia’s strategy to compensate the European market for its loss of gas sales since the beginning of the Ukraine War. The project is a planned successor to a pipeline with the same name that already transports Russian gas to China.
Rosneft CEO blasts high taxes, Rosneft's H1 earnings are up 27% year-on-year
Rosneft, Russia's biggest oil producer, said that its net income for the first half of this year rose by 27% compared to last year. Sales also increased. Company chief Igor Sechin referred to rising taxes as "destructive". The revenue for the period January to June was 5.174 trillion roubles. This is an increase of 33.4% compared to the previous year. Rosneft is responsible for 40% of Russia’s oil production. It managed to divert sales to India and China, away from Europe. The U.S., along with Europe, introduced trade sanctions on Russia because of the conflict in Ukraine.
Russia Ships Naphtha to China via North Sea Route
Russia is shipping a naphtha cargo via the North Sea Route (NSR) as Moscow seeks to increase supplies using the route to major trade partner China, cutting its way through European waters, traders said and Refinitiv data showed.SCF Irtysh is loaded with with 37,000 tonnes of naphtha onboard, loaded at Ust-Luga port on August 5, 2023, for delivery to China. It is the first such loading since at least the late 2000s, according to two traders.The supplier of the cargo was Gazprom Neft, the traders said. Gazprom Neft did not respond to a request for comment.The NSR is an Arctic route connecting Russian ports with China.
Russia's Medvedev Says Oil Could Hit Up to $400 a Barrel if Japanese Proposal Adopted
Russia's former president Dmitry Medvedev said on Tuesday a reported proposal from Japan to cap the price of Russian oil at around half its current level would lead to significantly less oil on the market and could push prices above $300-$400 a barrel.Commenting on the proposal, which was reportedly put forward by Prime Minister Fumio Kishida, Medvedev said Japan "would have neither oil nor gas from Russia, as well as no participation in the Sakhalin-2 LNG project" as a result.President Vladimir Putin last week signed a decree that seizes full control of the Sakhalin-2 gas and oil project in Russia's far east…
Gas Prices Soar in Europe on Tight Russian Supply
European gas prices soared more than 30% on Tuesday as low supplies from Russia reignited concerns about an energy crunch as the region heads for colder weather.A key pipeline which normally delivers gas from Siberia to Europe continued to work in reverse on Tuesday, traders said, sending flows from Germany to Poland, while supplies of Russian gas from Ukraine to Slovakia were also subdued.Russian energy exports have been in the spotlight amid the country's broader standoff with the West , including over its tensions with neighboring Ukraine…
Russian Pipe-laying Vessel Moors at Nord Stream 2 Hub in Germany
A Russian pipe-laying vessel Academic Cherskiy which Moscow can use to finish laying pipes for the Nord Stream 2 gas project, has moored near the German logistics hub in Mukran, Refinitiv Eikon tracking data showed on Monday.Led by the state gas company Gazprom, Nord Stream 2 had to suspend pipelaying works late last year, hit by fresh U.S. sanctions. The project is aimed at doubling existing undersea flows to Germany to 110 billion cubic meters per year.Cherskiy, bought by Gazprom in 2016, has sailed from the Russian Pacific port of Nakhodka where it was docked in December when the U.S.
Oil Rises After OPEC+ Agrees Record Output Cut
Oil prices rose on Monday after major producers finally agreed their biggest-ever output cut, but gains were capped amid concern that it won't be enough to head off oversupply with the coronavirus pandemic hammering demand.After four days of wrangling, the Organization of the Petroleum Exporting Countries (OPEC), Russia and other producers, a group known as OPEC+, agreed on Sunday to cut output by 9.7 million barrels per day (bpd) in May and June to support oil prices, representing around 10% of global supply.Brent crude futures rose 16 cents, or 0.5%, to $31.64 a barrel by 0709 GMT after opening at a session high of $33.99. U.S.
Sechin to Stay at Rosneft's Helm for 5 More Years - Vedomosti
The Russian government has extended a contract for Igor Sechin, a close ally of President Vladimir Putin, to stay as the chief executive officer of giant oil producer Rosneft for five more years, Vedomosti daily reported on Wednesday.The daily, citing three people familiar with the situation, said the government signed the order to extend Sechin's contract a few days ago.It said that a "federal official" has confirmed that the decision was approved by the government.Sechin, known for his criticism of the Organization of the Petroleum Exporting Countries, has been the CEO of the company since 2012.
