For those that are unaware there are two Nord stream pipelines (one and two) entering the EU from Russia. Until recently Nord Stream 1 was shut down for maintenance, this pipeline involved the turbine which was held hostage by Schwab’s puppet Trudeau. The other Nord Stream 2 pipeline runs thru the Baltic Sea. It has the capacity to transport 55 billion m3 of gas annually, its construction was completed September 2021, Gazprom has indicated the pipeline is ready for use. Germany’s masters have not allowed Germany to accept the completions certification, as a result the project was halted indefinitely. I believe the German’s are considering repurposing parts of the pipeline for an LNG terminal. Most probably they are acting under instruction and the best interests of the US in detriment to their own people’s needs and those of Europe.
Putin believes that Canada stalled the return of the turbine to Russia, because of its self-interest. Canada is the world 4th largest producer of natural gas, selling its surplus to the US in March, indicating it had the capacity to increase its hydrocarbons exports. The RF believes Canada is eyeing the EU market.
Gazprom resumed the delivery of gas from Russia to Germany through the Nord Stream 1 Baltic Sea pipeline on Thursday at 40% capacity as per the existing agreement. The pipeline is not fully charged because the turbine has not been returned, presumably it’s in transit. The quality of the repairs to the turbine may be called into question following inspection and installation as such there could be an unexpected impact on gas flow.
The German regulator expects that in 2023 the cost of gas for Germany is likely to increase threefold. In certain instances, gas prices on the stock exchange are incurring a 7-fold increase for which the everyday Germans will eventually pay for. The daily power consumption bills have doubled and continue to grow in parallel with the delivery of sanctioned packages. With further political impacts on the Nord Stream, Germany may face a shortage of “blue fuel” in autumn and winter.
It is my understanding that the first 2 EU dominos have fallen, among the EU block Lithuania and Estonia have entered into recession. The GDP of these countries will continue to fall in the second half of 2022. According to Eurostat, Estonia’s inflation has reached 22%, this is the highest rate in the EU. Second and third place among the neighbours are Lithuania (20.5%) and Latvia (19.2). The overall inflation in the Eurozone attained a historic high of 8.6% in June. The primary cause is oil and gas prices, having increased to 42% due to sanctions of their own making. Austria, Luxembourg, Belgium and Portugal are facing continued production cuts. The European Commission predicted record inflation and a slowdown in GDP growth for the entire EU and all this self-inflicted. One must wonder whether the EU politicians are complete imbeciles or they are deliberately leading Europe’s people into the dark ages, or both.
The Baltic EU members Latvia, Estonia and Lithuania ceased importing Russian gas in compliance with western sanctions. They have also rejected Russia’s request for natural gas payment in rubles. Despite 90% of the Latvia’s gas being sourced from Russia the country does not intend to resume Russian gas imports. Meanwhile, gas prices in Latvia are soaring. Some households are now paying between 66% and 90% more or gas in July 2022. This week the Estonian cost of electricity exceeded its record high. The average exchange price for Estonian electricity was €300 per megawatt-hour. The price of electricity in Finland, Latvia and Lithuania is in the same price range.
Recently the former Lithuanian Foreign Minister acknowledged the EU measures against Russia are counter-productive. The EU exchanged significantly more money with Russia when buying hydrocarbons and coal than it sent aid to Ukraine. As a result, the price of hydrocarbons continues to grow while the ruble strengthens. I wonder if they realise that they are inadvertently helping Russia.
Russia’s Trade Ministry, will focus on economic policy prioritizing domestic needs and our technological sovereignty by re-establishing the Russian military-industrial complex. Russia will increase its export potential with countries like the Middle East, SE Asia, Africa and S. America. Technological sovereignty will be ensured thru sustainable independence in all consumer sectors. Additional funding will accelerate the production of Russian analogues hence replacing imported components while implementing alternative logistical pathways to new markets for Russian products. Russia shall enhance national security and defence thru the prioritisation of Russian-made high-tech weaponry; self-reliance in the manufacture of equipment for the Russian energy sector, shipbuilding, aircraft manufacture and the enhancement of our chemical industries while reviving the electronic engineering sector.
Ukrainian entities continue to resell weaponry supplied by the western alliance. NATO supplied kamikaze drones, UAV Switchblade-300’s which are now available on the dark web, not forgetting the American “Javelins”. I believe at least one PRK has arrived in Turkey. The Pentagon has indicated that it cannot find evidence of this. I wonder what they’ll say when the EU criminal elements start applying this tech on the streets of Europe. A novel concept in democracy, in the Ukrainian-controlled portion of Zaporozhye, motorists are being stopped and issued on the spot military summonses. Apparently, the AFU is conducting mass raids in all districts, rounding up volunteers for the frontline.
In 2014 the US-backed coup overthrew the democratically elected Ukrainian government. It was then that Ukraine, incorporated Nazi militias like the Azov Battalion, into its National Guard. Western media outlets have amplified Azov propaganda.
fakebook Facebook control of free speech side stepped allowing its users to praise Neo-Nazis. News outlets like “Newsweek” and the “Associated Press” inflate Zelensky to “hero” status. But they choose to ignore Zelensky’s version of democracy, which incorporates the arrest of the main opposition party’s leader, shutting down all other opposition parties while banning critical TV and online media outlets. He has gone so far as to take full control of all the major media outlets in the Ukraine. Perhaps it’s a case of finding democracy on the other side of Zelensky’s war.
In 2018 Reuters acknowledged that numerous Ukrainian militias use Nazi symbolism and continue to actively recruit the NAZI acolyte. In 2019 roughly 40 US senators signed a document demanding many of these militias, primarily Ukraine’s Azov Battalion, be designated as terrorist organizations. Again, I would say that we continue to crush the Azov NAZI’s, their tattoos simplify their identification and they are looking like becoming an endangered species at least in the new-Ukraine. It won’t be long before many will flee into the EU, good luck to the EU.
Biden’s recent visit to Riyadh was met with impotent success. The Saudis agreed to increase oil production by roughly 15 % an achievement to be met by 2027, too little too late. In March of 2022, Boris Johnson failed to convince Riyadh to jack up production, Biden in lockstep with Johnson, failed in the same manner. It may be an opportune time to mention that Saudi Arabia sells 20% of all exported oil to China and is negotiating to switch to payments in yuan.
Russia and Iran have agreed to advance mutual trade in national currencies. The Tehran Currency Exchange has launched trading in Russian rubles. They will be traded in pairs with the Iranian rial. Moscow and Tehran have signed agreements on the development of interbank and currency cooperation, another step closer to de-dollarisation. Following the weaponization of the SWIFT System all currency settlements between Kyrgyzstan and Russia are now transacted in rubles. Kyrgyzstan has switched to payment in rubles for fuel supplies from Russia. Syria is severing diplomatic relations with Ukraine. Earlier, the Syrian Foreign Ministry announced the recognition of the independence of the DPR and LPR. The Supreme leader of Iran Khamenei stated NATO would have started a war with Russia under the pretext of Crimea if the alliance had not acted to defend its sovereignty, NATO knows no boundaries.
Iran intends to transfer drones to Russia; in response the US intends to sanction Iran further. Iran is currently fully sanctioned by the US and their cohorts; I didn’t think there was anything else left to sanction. According to the Iranian Army Commander Heydari, Tehran is ready to export military equipment and weapons to the RF.
The Shanghai Cooperation Organisation (SCO) is a Eurasian economic and security alliance and the world’s largest regional organisation covering 60% of Eurasia, 40% of the world’s population and greater than 30% of the worlds GDP. The organization currently includes India, Kazakhstan, China, Kyrgyzstan, Russia, Tajikistan, Pakistan and Uzbekistan. The SCO confirmed Belarus has officially applied to join and that Iran has indicated its intention to do likewise.
It was announced that the “House of Military Officers” in Vinnitsa was destroyed following a sea-launched Kalibr cruise missile strike. The strike was timed to occur when senior Ukrainian military were holding secret talks with foreign arms suppliers. They were discussing the transfer of warplanes, weapons systems and repair of the air force fleet. All participants were liquidated.
America’s House of Representatives has authorized a defence expenditure (tax payers money) of $840 billion for 2023, exceeding Biden’s proposed record military budget by $37 billion. The annual National Defence Authorization Act (which sets military expenditure), was passed on Thursday by a vote of 329-101. I wonder if they know something that we don’t. Until recently, America was secretly using private companies to buy essential goods such as fertilizers, food, seed, medicines and medical equipment from Russia.
Zelensky would like the world to believe that all of Ukraine is against Russia, but in reality, the RF receive constant and accurate intel from the general population of Ukraine. The intel provided often defines the positions of the Ukrainian forces. They are helping the RF liberate their cities from Ukrofascists occupation. This is typical of Nikolaev, Odessa and many other cities, messages continue to be received regularly from multiple sources.
The Pentagon has weaponised Microsoft Corporation; it has taken control of the entire Ukrainian information network. Zelensky has given them unrestricted access to all communication devices in the country for surveillance, provocations, computer attacks under a false flag, this was indicated by Russia’s Deputy Foreign Minister.#
If Europe abandons Russian oil, crude prices could soar to $200 per barrel, or higher, analysts warn
Russia has given “hostile” countries a March 31 deadline to begin payments for natural gas imports in rubles. The new currency-switch rule will affect countries that imposed economic sanctions on the nation and froze its foreign currency reserves. This particularly concerns some EU countries that rely heavily on Russian energy supplies.
- What will happen after March 31?
Russia says Europe will not get free gas if countries refuse to pay in rubles. “We are not going to supply gas for free, this is clear,” Kremlin spokesman Dmitry Peskov said on Tuesday. When asked whether gas would be turned off for non-payers, Peskov replied: “No payment, no gas.” He added, however, that Russia is yet to make a final decision on how to respond should European countries refuse to pay in the Russian currency.
- How much does Europe depend on Russian gas?Europe depends heavily on Russian gas for heating and power generation. Russian gas accounts for some 40% of Europe’s total consumption. The EU’s gas imports from Russia this year stood between €200 million and €800 million a day.
What happens in Europe without Russian gas?
The European Commission has said it plans to cut EU dependency on Russian gas by two-thirds this year and end its reliance on Russian supplies “well before 2030.” However, economists say it’s not easy to replace the 1,550 terawatt-hours of Russian gas delivered to the EU in 2021. Europe cannot replace the supply shortfall quickly; it will need to curb demand. Meanwhile, increased liquefied natural gas (LNG) imports in an already tight global LNG market would place immense upside pressure on prices. This would be a major hit to the European economy, which is already suffering from sky-high energy prices. A prolonged halt in supply of Russian gas would come at a cost for the EU and might even result in some countries that are more exposed to Russian gas fluctuations, like Italy and Germany, having to take emergency measures. German chancellor Olaf Scholz has warned that a ban on Russian energy imports would trigger an economic recession across Europe.
There is a risk of a global energy crisis. Russia is the largest natural gas exporter in the world and the second-largest exporter of crude oil behind Saudi Arabia, according to the International Energy Agency. Replacing Russian gas will not be easy. Europe will have to buy gas on the open market, which means if they buy from countries like Qatar or the US they will have to pay more. It also means that the gas they buy will not go somewhere else. The result will be higher gas prices everywhere as countries outbid each other for limited supplies.
Russia supplies around four million barrels of oil per day to the European Union. Unlike gas, the supply of which to a greater extent is still regulated by long-term contracts, the price of oil is volatile and is determined by supply and demand. If Europe still decides to abandon Russian oil, then crude prices could soar to $200 per barrel, or even higher, analysts warn.
So far, the EU and G7 nations have rejected Russia’s demand to switch their payments for gas to rubles. Russia said it will not provide free gas supplies, suggesting that it is ready to shut off the taps. If that happens Moscow would lose between €200 million to €800 million each day of the embargo. However, Russia could redirect some of the gas to Asia. Europe would likely face an economic crisis not seen since WWII, as soaring energy prices would send the region’s economies into recession. So, who will blink first? Place your bets.