Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksRDSA.L Share News (RDSA)

  • There is currently no data for RDSA

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

Nord Stream-2 gas pipeline is Trojan Horse, says Naftogaz

Wed, 06th Apr 2016 18:53

* Nord Stream-2 consortium says 'purely commercial'

* Says would increase liquidity, competition

* Ukraine says would destroy EU solidarity, hike tariffs forsome

* European Commission says examining the project closely

By Barbara Lewis

BRUSSELS, April 6 (Reuters) - The Nord Stream-2 project todouble the amount of gas shipped directly to Germany from Russiais a Trojan Horse that will lead to tariff hikes andgeopolitical blackmail, the CEO of Ukraine's state oil firmNaftogaz said on Wednesday.

Since its conception last year, Nord Stream-2 has triggeredvehement reactions. Many EU governments complain it increasesdependency on Russia's Gazprom, which already suppliesaround one third of EU gas.

The Nord Stream-2 consortium, which includes Gazprom, E.ON, Wintershall, Shell, OMV and Engie, says the project is purely commercial.

Ukraine, whose relationship with Russia has been soured byRussia's annexation of its Crimea region in 2014, disagrees.

"Some things that look purely commercial, if you lookclosely, are very much like Trojan Horses. They will createsignificant issues for the future," Naftogaz CEO Andriy Kobolevtold an audience in the European Parliament.

Those present included Maros Sefcovic, the EuropeanCommission's energy vice president, representatives of NordStream and parliamentarians.

Kobolev said Nord Stream-2 would lead to price increases foreastern, central and southern European countries, which wouldhave to pay gas hub prices plus transport costs, while Germany,the entry point for Nord Stream-2, would get cheap gas,destroying any EU solidarity.

Russia could offer discounts to those facing high prices,but in exchange for other things, which would be "geopoliticalblackmail," he said.

Sefcovic said the project did not yet conform with EU lawand security of supply criteria.

"As regards security of supply, Nord Stream-2 could lead todecreasing gas transportation corridors," he said.

The routes under threat would include transit throughUkraine, which is the route for around half of the Russian gasthe EU receives and is economically reliant on transit fees.

The Yamal pipeline that supplies Russian gas through Belarusand Poland to Germany is also vulnerable, Sefcovic said.

Germany sought in January to reassure Poland the Yamal routewas safe.

Its former chancellor Gerhard Schroeder advocated the firstdirect link to Germany from Russia Nord Stream-1 and chairs theNord Stream shareholders' committee.

On Tuesday, Schroeder met European Energy and EnvironmentMinister Miguel Arias Canete, who also highlighted concernsabout the future of Ukrainian transit and security of supply,the Commission said following the meeting.

Ulrich Lissek, communications director of the Nord Stream-2consortium, said on Wednesday the gas link could reduce prices,by adding to market liquidity.

Its maximum capacity would be 55 billion cubic metres peryear, which would leave room for other sources, such asliquefied natural gas, he said. (Editing by David Evans)

More News
21 Dec 2021 18:32

Texas lawsuit by laundromat owners seeks to block Shell refinery sale to Pemex

By Stefanie EschenbacherMEXICO CITY/HOUSTON, Dec 21 (Reuters) - A pair of New York businessmen filed a lawsuit in a U.S. court seeking to block Mexico's state oil company Petroleos Mexicanos (Pemex) from taking control of a Texas refinery, claimin...

Read more
21 Dec 2021 12:00

Oman's gas project for block 10 in Saih Rawl filed is expected to reach production of 0.5 bln cubic feet per day - ministry

Cairo, Dec 21 (REUTERS) - Oman's energy ministry said on Tuesday that the gas project for block 10 in the Saih Rawl gas field is expected to reach production of 0.5 billion cubic feet of gas per day.It added on Twitter that the project start up is...

Read more
21 Dec 2021 09:41

UPDATE 2-European shares rebound from Monday sell-off as energy stocks, miners jump

(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)* ING to quit French retail banking business* Sanofi's $1 bln Amunix buyout to add to drugmaker's pipeline* European chipmakers rise on Micr...

Read more
20 Dec 2021 11:27

Britain consults on climate checks for new oil and gas licences

LONDON, Dec 20 (Reuters) - Britain on Monday called for views on potential checks for new oil and gas licences to assess whether projects are in line with the country’s climate commitments.Britain has a target to reach net zero emissions by 2050 a...

Read more
20 Dec 2021 09:54

UPDATE 2-UK shares fall as Omicron concerns hit commodity, travel stocks

(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)* Standard Chartered fined $61.51 mln for regulatory lapses* Oil, metal prices fall as Omicron fuels demand worries* FTSE 100 down 1.0%, FTSE...

Read more
17 Dec 2021 17:04

LONDON MARKET CLOSE: FTSE 100 outperforms Europe as Omicron cases rise

LONDON MARKET CLOSE: FTSE 100 outperforms Europe as Omicron cases rise

Read more
17 Dec 2021 16:35

UPDATE 4-Brazil's oil auction raises $2 billion as Total, Shell pile in

(Adds comments from analyst, TotalEnergies)By Gram Slattery, Marta Nogueira and Sabrina ValleRIO DE JANEIRO, Dec 17 (Reuters) - France's TotalEnergies , Royal Dutch Shell, Malaysia's Petronas and Qatar Energy on Friday scooped up big offshore field...

Read more
17 Dec 2021 16:35

UPDATE 3-Brazil's offshore field raise $2 billion as Total, Shell pile in

(Adds details on production, updates share prices)By Gram Slattery, Marta Nogueira and Sabrina ValleRIO DE JANEIRO, Dec 17 (Reuters) - France's TotalEnergies , Royal Dutch Shell, Petrobras, Malaysia's Petronas and Qatar Energy scooped up big offsho...

Read more
17 Dec 2021 16:35

UPDATE 2-Total, Shell pile into Brazil's offshore fields in $2 billion sale

(Adds details on bids, adds analyst comment)By Gram Slattery, Marta Nogueira and Sabrina ValleRIO DE JANEIRO, Dec 17 (Reuters) - TotalEnergies SE , Royal Dutch Shell PLC, Petrobras, Petronas and Qatar Energy scooped up two blockbuster offshore fiel...

Read more
17 Dec 2021 16:35

UPDATE 1-Foreign oil firms pile into Brazil's offshore fields in $2 billion sale

(Updates with results of auction)By Gram Slattery, Marta Nogueira and Sabrina ValleRIO DE JANEIRO, Dec 17 (Reuters) - Petrobras, Petronas, TotalEnergies SE, Royal Dutch Shell and Qatar Energy scooped up two blockbuster offshore fields in Brazil on ...

Read more
17 Dec 2021 11:24

Just Eat adds Asda to platform, first UK partnership in grocery sector

Just Eat adds Asda to platform, first UK partnership in grocery sector

Read more
17 Dec 2021 11:00

Top oil majors set for 2nd shot at coveted Brazil 'pre-salt' offshore fields

By Gram Slattery, Marta Nogueira and Sabrina ValleRIO DE JANEIRO, Dec 17 (Reuters) - The world's top oil majors will compete in Brazil on Friday for the chance to snatch up some of the world's most coveted offshore oilfields, a test of the nation'...

Read more
17 Dec 2021 09:52

IN BRIEF: Smart Metering extends exclusivity agreement with Shell

IN BRIEF: Smart Metering extends exclusivity agreement with Shell

Read more
17 Dec 2021 07:59

Just Eat strikes first British grocery deal with Asda

AMSTERDAM, Dec 17 (Reuters) - Just Eat Takeaway.com said on Friday it had struck a deal with British supermarket group Asda to sell groceries through its delivery platform.The deal, Just Eat's first with a major British supermarket chain, comes a...

Read more
17 Dec 2021 07:51

LONDON MARKET PRE-OPEN: UK retail sales up; Johnson Matthey sells unit

LONDON MARKET PRE-OPEN: UK retail sales up; Johnson Matthey sells unit

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.