Weekend News (October 7th-0ct 8th)

[stepanstas]

Some Interesting News Here. Those of you who read this. Reply.

Ukraine Not To Import Russian Gas In 2007

Addressing reporters in Kyiv, Fuel and Energy Minister Yuriy Boiko said Ukraine would instead import gas from Turkmenistan, Uzbekistan, and Kazakhstan through a Russian-Ukrainian joint venture, RosUkrEnergo.

Boiko said on October 4 that Ukraine has received firm assurances that it will receive at least 57.5 billion cubic meters of Central Asian natural gas in 2007.

Ukraine consumes an average 78 billion cubic meters of natural gas per year.

Also on October 6, Ukraine's Prime Minister Viktor Yanukovych pledged that his country will not hinder the transit through Ukraine of Russian natural gas meant for European markets.

A bitter dispute between Kyiv and Moscow over gas prices resulted in a short reduction in Russian gas supplies to Ukraine and to Europe.

Danube Commission says oil spill will not reach Ukraine

A special meeting of the Danube Commission was called by Ukraine▓s Ministry of Foreign Affairs, regarding pollution from a 2000 oil spill in the Danube.
Commission members said the spill will not reach Ukraine. The General Director of the Commission's Secretariat confirmed experts▓ conclusions that there is practically no danger of further pollution of the Danube from the spill. Meanwhile, Ukraine▓s Emergency Ministry announced the oil stain, currently 300 kilometers from the Ukrainian border, is moving at a rate of 3 kilometers per hour and could hit Ukrainian waters by October 8 or 9.

Official: Ukraine Won't Buy Russian Gas

KIEV, Ukraine ≈ Ukraine will stop purchasing Russian natural gas beginning next year, instead opting for cheaper gas from Central Asian states, an energy official said Saturday.

Ukraine currently pays $95 (euro74) per 1,000 cubic meters of a mix of more expensive Russian gas and cheaper Turkmen imports which it receives through an intermediary company.

In order to avoid an anticipated major price hike from Russia next year, Ukraine has agreed to buy the needed 57.5 billion cubic meters of gas from Turkmenistan, Uzbekistan and Kazakhstan for the same price it is currently paying, said Dmytro Marunich, spokesman for Ukraine's state-owned gas company Naftogaz.

"There is no need to buy from anybody else," Marunich told The Associated Press.

Energy Minister Yuri Boyko on Friday stressed, however, that the decision will not disrupt deliveries of Russian gas to European consumers, Ukrainian media reported. Some 80 percent of Russian gas exports to Europe go through Ukraine.

Ukraine has vowed that western European gas consumers will not suffer supply disruptions as they did in January during a price dispute between Ukraine and Russia, when Russia briefly turned off the gas taps. Russia then accused Ukraine of siphoning off gas meant for Europe.

Russia's state-controlled natural gas monopoly, OAO Gazprom, has said it would keep the current price of natural gas for Ukraine unchanged until the end of the year, but pressure to increase the price has risen after Turkmenistan hiked the amount Russia pays for the gas it buys and then sells on to Ukraine.

Well, There you have it. Not much news, but all positive in my point of view.

• Do you think Ukraine will have enough Gas?
• Do you think Ukraine's water will be poluted?
• How do you feel about Yanukovich's comment about gas not going throught Ukraine?
• Do you think it will damage relations?
• Any other comments?

[Alex_Ivanov]

In fact Russia is able to decide what gas Ukraine buys. If Kremlin is satisfied with Ukraine's Yanukovich government, it would allow to buy and transport cheap gas, if not, it would say that all turkmen gas was consumed in Ural region and propose to buy gas from Yamal, 300$/100m3.

[stepanstas]

I doubt that Russia will be able to control if Ukraine will buy gas from what country. Deals have been made allready as far as I understand.

Then again, i am not there.

Thanks for your reply.

[Alex_Ivanov]

Originally Posted by stepanstas

I doubt that Russia will be able to control if Ukraine will buy gas from what country. Deals have been made allready as far as I understand.

And what country does control gas pipes? That's it. In Russia it's quite easy to imagine "there's no technical possibility to transport that gas at the moment" or something like that. Anyway, I don't believe in such scenario. Kremlin seems to be satisfied with Yanukovich so far.

[stepanstas]

Well, how about Ukraine turns off Russia's gas pipes to western Europe

[Alex_Ivanov]

Originally Posted by stepanstas

Well, how about Ukraine turns off Russia's gas pipes to western Europe

Well, Russia hasn't ratified Energy Charter yet, so it isn't obliged to transport gas it doesn't want to transport. Ukraine ratified the Charter, so it is obliged to do so. Cut off or stealing from Ukrainian part of pipe is a problem of Ukraine-EU relations. Last winter, when Russia cut off gas supplies to Ukraine, Ukraine obviously expected EU to pressurize Russia, but got the contrary - EU pressurized Ukraine to sign the deal on Russian terms.

After all, I think it's better for Ukraine to have good relations with Russia, then to play gas wars Ukaine can't win by definition.

[stepanstas]

Well Russia is the controler of Europe and Asia in many factors.
I think thats the main reason why the EU was created. To protect countries. Yet since the EU countries get Russian gas, they could not go again Russia last winter