Even as Western sanctions over Ukraine bite, crashing oil prices are hitting Russia's economy and government finances.
Europe must wean itself off Russian gas and look to places like the Caspian Sea or the Middle East for alternative supplies, as the conflict in Ukraine underscores the importance of energy independence
US Vice-President Joe Biden claimed Russia is using energy as 'a weapon' and urged European countries to diversify sources for the purposes of energy security.
With Russia's economy battered by economic sanctions and plunging oil prices, President Vladimir Putin has allowed the central bank to administer strong medicine, sharply raising interest rates even as it freed the rouble to float.
TOTAL Senior Vice President on Strategy and Business Intelligence, Mrs. Helle Kristoffersen, stressed the importance of addressing Europe’s gas supply amidst the current crisis between Russia and Ukraine, speaking on the session panel on Global Energy Security, Supply and Demand at the Abu-Dhabi International Petroleum Exhibition and Conference on November 12, 2014.
Sanctions are forcing Exxon Mobil Corp. to look for alternative assignments for an offshore rig supposed to sail back to the Russian Arctic next summer, writes Bloomberg.
Russia may pivot to the east but it cannot escape its European destiny
Russia can do little to shore up slumping global prices even if OPEC wants it to. Russian wells will freeze if they stop pumping oil, and the country cannot store the output it would otherwise export.
Dispute over Russian gas supplies to Ukraine should be resolved shortly since this country will not survive this winter without Russian gas.
According to Gazprom’s financial report, in 2013 exports to Europe accounted for 58% of its revenue. It is true that Gazprom has been losing market share in Europe, but it has been increasingly flexible and sales rebounded in 2013.
Leaders from the G20 group of nations agreed on Sunday to boost flagging global growth, tackle climate change and crack down on tax avoidance but ties between the West and Russia plummeted to a new low over the crisis in Ukraine.
North Atlantic Drilling Ltd. (NADL), the rig company controlled by billionaire John Fredriksen, will extend a deadline to complete deals with Russia’s OAO Rosneft (ROSN) that include $4.25 billion in contracts amid concern over trade sanctions, a person familiar with discussions said.
Liberalization of the Russia gas sector, which has remained the domain of state-controlled Gazprom that has enjoyed export and transit monopoly since the collapse of the USSR, has been discussed for at least a couple of years.
Russian oil and gas production hasn't been affected by Western sanctions
A Bad Gas Deal For Ukraine As Europe Looks After Its Own Interests