Page 14 - FSUOGM Week 21 2022

FSUOGM POLICY FSUOGM

Gas pipeline networks in southern Finland (Image: Gasgrid Finland)

Likewise, Gasgrid said it did not anticipate any new rules payment for gas in Russian rubles.
difficulties with supplies. In its statement on Many observers have noted, however, that the
May 21, it described Finland’s gas network as Gazprom subsidiary took action shortly after
“in balance both physically and commercially.” Finland declared its intention to seek mem-
Russia is Finland’s main supplier of natural bership in Nato, thereby moving away from
gas. However, gas only accounts for a small share its long-standing policy of neutrality vis-à-vis
of the country’s total energy consumption – 6% Russia.
in 2020, according to a recent report from the Officials in Moscow have warned Helsinki
Finnish broadcaster YLE. against taking such a step, saying that an appli-
Gazprom Export’s stated reason for the cation to join Nato would be “a grave mistake
supply cut-off was Gasum’s failure to abide by with far-reaching consequences” for Finland. ™

Saudi energy minister says Russia

will remain a part of OPEC+ group

SAUDI Arabia says it will still include Russia in to bring prices down from their current level –
the OPEC+ group and intends to continue to pressure it has so far ignored.
work with Russia and other non-OPEC oil-pro- Front-month Brent crude futures were trad-
ducing states to balance global energy markets, ing at more than $113 per barrel in London as
despite Western sanctions on the trade in Rus- of May 23. This is below the eight-year record
sian crude. highs reported in early March, shortly after the
Prince Abdulaziz bin Salman, the kingdom’s Russian invasion of Ukraine, but not by much.
energy minister, told the Financial Times in The Financial Times described Prince Abdu-
an interview published on May 22 that Riyadh laziz’s statements as “an important sign of sup-
aimed to still include Moscow in agreements port for Russia” from Saudi Arabia. It is worth
between members of the OPEC+ group. Saudi noting, though, that Riyadh has cited other rea-
Arabia aims “to work out an agreement with sons for resisting Western calls for production
OPEC+ ... which includes Russia,” he said. hikes that do not involve Moscow or the Russian
He also asserted that there was objective invasion of Ukraine.
value in co-operation between oil producers and Specifically, Saudi officials have said repeat-
said that the “world should appreciate the value” edly that they do not believe prices are high as a
of an alliance such as OPEC+. result of true supply shortages. Prince Abdulaziz
The prince was speaking at a time when stressed this point in the interview, saying that
OPEC+ is gearing up for discussions on new crude oil prices – and, consequently, retail fuel
production quotas. The regime that the group’s prices – were running high because of inade-
members put in place in April 2020 is sched- quate global refining capacity.
uled to expire in three months’ time, and Saudi “The determinant of the market is refinery
Arabia, like other producers, has come under capacity” and unlocking additional processing
considerable pressure to raise output in order capacity, he told the newspaper.

P14 www. NEWSBASE .com Week 21 25•May•2022