Energy Blast – September 21, 2009

Reuters reports that next week Vladimir Putin will hold a meeting with global oil giants on how to exploit gas reserves on the Arctic Yamal peninsula.  Natural Resources Minister Yuri Trutnev has told Reuters that Russia will consider easing laws regulating foreign participation in offshore energy projects, which had been restricted during the 2002-July 2008 boom in oil prices.  Rosneft has apparently said that it will not be able to maintain the high level of oil exports that has seen Russia overtake Saudi Arabia as the world’s biggest oil producer, as the domestic market will become more alluring to oil producers.  The President of OPEC has reportedly argued that the cartel must improve cooperation with Russia in order to keep prices stable.  Bulgaria has agreed to continue preparations for the Russian-backed Belene nuclear plant, South Stream and the Burgas-Alexandroupolis oil pipeline.  Ukranian President Viktor Yushchenko has asked European leaders to back Kiev’s attempts to sell more oil and gas to Europe and suggested ‘what is lacking here is political will’.  Turkey and Iraq have discussed signing a memorandum of understanding to transport Iraqi gas to Europe via Turkey through the planned Nabucco pipeline.