Energy Blast – Feb 28, 2012

Rosneft and Transneft have finally settled their dispute with China over the price of Russian crude supplies, agreeing to a $1.50 discount per barrel (or a total worth of $3 billion).  Russia’s domestic gasoline supplies are falling as January exports rose 25% month-on-month.  Gazprom Neft says it has replenished its hydrocarbon reserves by 380%.  Slovenia’s section of the South Stream natural gas pipeline is expected to cost $1.34 billion, which will be split by a Russian/Slovenian joint venture.  Venezuela has no intention of halting fuel supplies to Syria: ‘We have a high degree of friendship and cooperation with Syria, a country under siege.’  The high U.S. output of natural gas could see it surpass Russia as the world’s largest energy producer in the next decade, analysts say.  ‘[T]he way Gazprom is run is an accurate model for how Putin rules Russia,’ writes Anders Aslund.