The Brent-WTI spread narrowed further yesterday, with the price differential currently around $6/bbl, as Libya continues to shake up the international oil market. “Libya, the holder of Africa’s biggest crude reserves, has become the smallest producer in the 12-member Organization of Petroleum Exporting Countries after protests halted production and shipments. Output shrank to 250,000 barrels… Keep reading →
Russia’s Gazprom twice increased natural gas prices charged to its Ukrainian counterpart last week. The initial increase was largely expected, as it represented the removal of a discount offered in conjunction with financial assistance – ie loans – from the Russian government. However, after violent protests led Ukraine’s Russian-leaning president to leave office, Russia rescinded… Keep reading →
The Ukraine crisis has reinvigorated European efforts to diversify its natural gas supply sources away from Russia amid reliability concerns, but numerous obstacles stand in that path. “Added to that, Europe is contractually obliged to continue taking delivery of Russian gas. Bernstein makes the point that Gazprom has about 120 bcm of take-or-pay contracts –… Keep reading →
In one of the better pieces dealing with European gas supply issues associated with the Russia-Ukraine political crisis, this article cites a recent study published by the Oxford Institute for Energy Studies which pinpoints Ukrainian fiscal instability as the most likely cause of a European gas supply disruption. “The difficulties that Naftogaz Ukrainy is having,… Keep reading →
Ukraine’s political crisis continues, with Russian troops in Crimea, reformist forces in power in Kiev, and Europe, the US and Russia vying to broker a lasting solution. Just below the surface is the critical issue of natural gas. Europe gets approximately one-third of its gas from Russia and the majority passes through Ukraine. Will Ukraine… Keep reading →
In a wide-ranging interview, Maria van der Hoeven, chief executive of the International Energy Agency said US oil production growth – which is heavily leveraged toward light, tight oil – is expected to plateau and decline post 2025. “The light tight oil revolution in the United States is changing the geographical map of oil trade.… Keep reading →
Quick Take: Berg Insight is out with its latest “Smart Metering in Europe” research report. I’ve listed 12 highlights below. I found item #12 the most intriguing. Until recently, Europe has been a wireless holdout. But once its system is fully deployed, the UK will become the world’s largest wireless smart meter deployment to date.… Keep reading →
This second of three articles on how Gazprom is attempting to revamp its natural gas export strategy in Europe addresses a crucial element for the strategy’s success: Gazprom’s accumulation of gas storage capacity in Germany. Driven by the fact that many governments in OECD Europe have made commitments to reduce carbon dioxide emissions to 20… Keep reading →
As the situation in Kiev goes from bad to worse, with intensifying riots and growing casualties, the geopolitical struggle for influence between Russia and Western powers is also ratcheting up. The protests began in November when Russian-friendly President Yanukovych rejected an EU-sponsored trade agreement in favor of Russian support. “Prime Minister Dmitry Medvedev said Russia… Keep reading →
Spain’s recent history with solar power has been nothing if not tumultuous. Generous subsidies created a booming market in 2008, but the economic crisis brought a quick end to that. And now the country is pulling the rug out from under thousands of solar producers, many of them small, whose financing depended on the promise… Keep reading →
