The ties between Russian energy producers and their major corporate customers in Europe are strengthening rather than weakening, cemented by asset swaps which further their joint integration. Despite sanctions, these and other enduring economic ties make it unlikely that Europe will follow the lead of the US in provoking further confrontation with Russia over Ukraine.
A recent series of share exchanges between Gazprom and Royal Dutch Shell, BASF, OMV, and E.ON will allow the Russian energy giant to double the capacity of Nord Stream, bypassing Ukraine which has several times in recent years interrupted gas shipments across its territory to Western Europe. The US has been trying to reduce European energy dependence on Russia and gain new markets by liquifying and exporting its vast new natural gas reserves in North Dakota and Texas to Lithuania and other entry points on the continent. Efforts have also been underway to circumvent Russia by supplying Europe with gas and oil with new pipelines from Middle Eastern and Central Asian fields. But as the trade publication linked to below makes clear, “despite the hostilities over Ukraine, and the array of summits and official documents that seek greater energy independence from Russia, the latest deals between several European companies and Gazprom highlight the fact that Europe will continue to rely on Russian gas. The Nord Stream Pipeline expansion will bind Russia and Europe together for a long time.” http://oilprice.com/Energy/Natural-Gas/Lack-Of-Alternatives-Sees-EU-Sign-New-Russian-Gas-Deals.html _______________________________________________ pen-l mailing list [email protected] https://lists.csuchico.edu/mailman/listinfo/pen-l
