Energy Blast – June 25, 2012

Reuters reports on how Vladimir Putin asserted his authority among the global energy industry’s top players at the St Petersburg Economic Forum, but displayed a certain degree of favoritism towards Exxon.  Total CEO Christophe de Margerie expressed optimism after reassurances about foreign participation in the energy sector following the meeting.  President Putin apparently asked the assembled CEOs to offer Russian companies access to international assets, with the possibility of developing Russia’s considerable resources in exchange.  The Guardian explains how reprivatizing energy assets under Igor Sechin amounts to putting ‘them in the hands of established Putin loyalists’.  Russia’s top crude oil producer Rosneft has discussed cooperating with Exxon in the exploration of Iraq’s huge West Qurna-1 oilfield.  Gazprom Neft, a unit of Russia’s Gazprom, has reportedly made an offer for the 50% stake in TNK- BP being sold by the British major.  The gas monopoly has reached a deal with Electricite de France to seek joint acquisitions and consider building power generators in Europe.  Bloomberg reports on the seismic effect the shale gas boom might have on Russian energy predominance.  Russia and Japan, which relies upon the Middle East for 90% of its oil, have agreed on the joint development of a Siberian oil field.