Page 18 - FSUOGM Week 43

FSUOGM NEWS IN BRIEF FSUOGM

RUSSIA the end of 2020, Russian ambassador to EASTERN EUROPE
Serbia Alexander Botsan-Kharchenko said in
Russia's Gazprom updates an interview to Serbian news agency Tanjug Official: Any US president to
published on October 27.
export guidance is to visit Serbia on Wednesday and to meet sanction Nord Stream 2
Russian Foreign Minister Sergei Lavrov
Russia's gas giant Gazprom has upgraded its with President Aleksandar Vucic. The U.S. will erect barriers for the Russian
exports guidance to Europe to 165-170bn “In the sphere of energy, the project of Nord Stream-2 gas pipeline project no matter
cubic metres of gas at an average price a pipeline that is key for Serbia and for the who wins the presidential elections, Deputy
of $120-130 per 1,000 cubic metres, the majority of Europe is developing. It may be Foreign Minister Alexander Pankin said on
deputy head of the company and the head of finished until the end of this year, there are October 23.
Gazprom Export, Elena Burmistrova, told the only gas metering stations and a compressor "Everything is calculated step by step in
press. station left to be built,” Botsan-Kharchenko the .S planning, perhaps… Claims will arise,
As reported by bne IntelliNews, Gazprom said. as well as the barriers, and I think it will
posted its first quarterly loss since 2015 Besides the pipeline, Lavrov and Vucic happen under any administration," Pankin
in 1Q20, as the coronavirus (COVID-19) will discuss gas supplies, expansion of the said.
pandemic caused its European sales to Banatsky Dvor underground gas storage, The official also said that Germany is still
collapse, and ruble devaluation led to hefty cooperation with Russian state nuclear power interested in the project regardless of the
foreign exchange losses. corporation Rosatom, and cooperation in the continuing pressure of the US.
But the company still maintained its healthcare sphere, he said. The US last week extended sanctions
dividend policy, and in the past months sales The TurkStream pipeline was designed against the Nord Stream-2 gas pipeline to
have picked up. Gazprom also recently said it to consist of two branches with a length of include companies that provide services of
expects a positive cash flow in 2021. over 900 kilometers and a capacity of 15.75 upgrading or installment of equipment on
"Gazprom’s gas export business is billion cubic meters each. One of them, the ships laying the pipeline.
recovering sooner than we expected," BCS finished in May 2018, is to carry Russian gas
Global Markets commented on October 27, to Turkey, while the other is to transit gas
seeing the updated outlook as positive. to the European countries through Turkey.
"The European gas market will not Bulgartransgaz plans to build an extension of
completely recover for 2-3 more years," BCS TurkStream to Europe by the end of 2020. CENTRAL ASIA & SOUTH
GM believes, while adding that "the direction
and rapidity of the bounce-off of summer CAUCASUS
lows is positive." Russia to produce 518-
BCS GM also notes that with an Kazakhstan records major
accounting break-even of about $100 per 560mn tpy of oil in 2021-
1,000 cubic metres, the updated price surge in petrol exports due
assumption would mean that Gazprom is 2023
"finally exporting gas to Europe with a decent to low domestic demand
margin again." Russia will produce 518–560 million tonnes
Still, it would take at least until 2023 of oil per year in 2021–2023, Energy Minister Kazakh oil producers exported 362,100 tonnes
for the European market to completely Alexander Novak said on October 23. of petrol worth $125.6mn in January-August,
recover from the combined impact of the "Oil output will fall by about 10% to the compared to only 6,300 tonnes recorded in the
coronavirus (COVID-19) crisis and the level of 507mn tonnes this year while the same period of 2019, energyprom.kz reported.
second LNG glut, "but recover it will," BCS plan was 558–560mn tonnes. In 2021–2023, The surge in petrol exports was due to
GM argues. as demand recovers, production is planned low domestic demand caused by quarantine
"In the meantime, look for a resurgence in between 518-560mn tonnes, depending measures set in place to curb the spread of the
US exports of LNG, already under way and on the situation, which means that it will coronavirus (COVID-19).
driven by the suddenly wide open arbitrage recover to the pre-pandemic level," Novak The petrol exports included 103,300
between US gas prices on one hand and said. tonnes worth $36.7mn exported to countries
European and Asian prices on the other," the He said that oil exports will amount to of the Commonwealth of Independent
analysts suggest. 225mn tonnes in 2020, falling by 16.4%, and States, including top importers Kyrgyzstan,
in 2021–2023, it will recover to the pre- Tajikistan, and Uzbekistan. The rest of the
pandemic level of 231-266mn tonnes. world accounted for 258,800 tonnes of the
Ambassador: Serbia may by 10.5% in 2020. petrol exports worth $88.9mn - the main
Coal production in Russia will decrease
importers were Afghanistan, the Netherlands
finish TurkStream extension at 390mn tonnes and we expect recovery of and Georgia.
"For 2021–2023, this figure is forecasted
In January-August, Kazakh refineries
in 2020 coal production in this period," Novak said. produced 2.9mn tonnes of petrol and aviation
fuel, up by 3.3% from the first eight months of
He also said that exports in 2020 can fall
Serbia may finish construction of its extension by 13% to 193mn tonnes. 2019.
of the TurkStream natural gas pipeline, which Southern Shymkent city produced the
would run from Bulgaria to Hungary, until largest volume of petrol in the period as

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