Saturday, 8 September 2012

Putin´s Gazprom loosing its shine

 (composed and performed by Vladimir Tumayev, director of the Gazprom subsidy Spetsgazavtotrans)

Things are not going so well for Vladimir Putin´s favourite energy company: 

Is this the end of Gazprom as we knew it? For years, the world’s largest natural-gas company has kept Europe hooked on Russian gas supplies, while enjoying a near-monopoly in its home market.

Suddenly, though, Fortress Gazprom seems to be under assault from every direction. On Sept. 5, European Union authorities announced an antitrust investigation of Gazprom’s long-term gas supply contracts in Central and Eastern Europe. The next day, the company announced first-quarter profits fell 24 percent to 357.8 billion rubles ($11 billion), as European exports slumped and some customers renegotiated contracts to win more-favorable terms.
Back in Russia, rivals such as NovaTek and Lukoil  are starting to poach some of Gazprom’s business. And the company recently delayed a planned investment in the Shtokman gas field in the Arctic, as shale-gas development and the increased availability of liquefied natural gas worldwide have depressed prices, making the Arctic project uneconomical. “There is a whole chain of events happening with the company,” says Ekaterina Rodina, an oil and gas analyst at VTB Capital in Moscow. “I can’t see how they can turn all these negatives to positives.

Read the entire article here
Great news for Poland and other European Gazprom customers, who can look forward to lower prices. And time for Putin´s stooges Gerhard Schröder and Franz Beckenbauer to start looking for new paymasters? 

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