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Tuesday, January 06, 2009

Russian Natural Gas: The New Cold War

Still and again.

6 countries lose Russian natural gas.
Gazprom - the world's largest natural gas company and lifeblood of the Russian economy - claims there's no natural gas to be had. The European Union in Brussels says bvllsh1t!

"Bulgaria, Greece, Macedonia, Romania, Croatia and Turkey all reported a halt in gas shipments from Russia through Ukraine. Croatia said it was temporarily reducing supplies to industrial customers and Bulgaria said it had enough gas for only "for a few days."

The European Union in Brussels called the sudden cutoff to some of its member countries "completely unacceptable."

In a strongly worded statement, the EU complained that that gas had been cut "without prior warning and in clear contradiction with the reassurances given by the highest Russian and Ukrainian authorities to the European Union."

This is not the first time Russia has played this potentially deadly game to freeze out supplies, but:
"This time many of Gazprom's customers say they are better prepared, having built up substantial reserves. Ukraine, one of the largest consumers of gas in the world, says it has enough gas reserves to last for weeks.

Ukraine is refusing to pay $600 million Gazprom claims it is owed. Russia is also demanding an increase in the price Ukraine pays for its gas. Last year Ukraine paid Gazprom $179.50 per 1,000 cubic meters of gas, less than half of the average price European countries are expected to pay this year."

Gee. Ya think not having adequate domestic sources of fuel, plus dealing with totalitarian regimes is a bad idea??