Page 15 - FSUOGM Week 49 2022

FSUOGM NEWS IN BRIEF FSUOGM

Moldovagaz CEO explains the share of oil and oil products accounted the Kazakh gas pipeline system. Under
In the structure of cargo transportation,
the union, neighbouring Russia could
how Gazprom's gas ended as for 2.3mn tonnes (an increase of 160.5%), commit to taking care of the region’s
and other cargo was 3.3mn tonnes (an
needs. But given the Ukraine experience
Moldova’s buffer in Ukraine increase of 27.1%). and Europe’s decision to back away from
Russian hydrocarbon provision, there is an
According to the government,
Vadim Ceban, CEO of Moldovagaz Azerbaijan's income from the increasing wariness among populations of
-- a company with Gazprom as a major transportation of goods and passengers by ex-Soviet states when it comes to relying
shareholder -- explained on a TV show sea in January-September was AZN180.3mn on Russia to meet the provision of strategic
that "there was no breach of contract", (~$106mn), which is 39.4% higher y/y. needs.
after Russian President Vladimir Putin Income from the transportation of goods by Uzbek Energy Minister Jorabek
complained that Moldova was storing sea amounted to AZN175.6mn (an increase Mirzamahmudov said in an interview with
Russian gas in Ukraine. of 37.3%). At the same time, the main the Kun.uz news website published on
Moldova recently decided to send all the volume of these incomes was international December 7 that his country would not
gas delivered by Gazprom to the separatist cargo transportation with AZN170.3mn give up its national interests in return for
Transnistria region. The deal is valid for (an increase of 33.2%). Income from supplies of natural gas.
December, to be extended until the end of passenger transportation by sea amounted "Signing a gas agreement with Russia
March. to AZN4.7mn (an increase of 300%). does not mean an alliance or union
Moldova's government said that it can In 2021, income from the transportation ... It would be a technical contract,"
survive without the Russian gas, as long of goods by sea amounted to AZN175.6mn Mirzamahmudov, made energy minister in
as it has a 250mn cubic metre buffer, and (an increase of 4.6%), and passenger October, stated.
Romania began exports through a pipeline transportation to AZN2.99mn (an increase "We will never compromise our national
that was already completed. of 350%). interests. Even if we [agree to receive
Ceban explained that, over the past In 2021, the volume of sea cargo natural gas from Russia], we will proceed
months, Moldovagaz sold the excess transportation amounted to 5.4mn tonnes via commercial sales contracts. We will not
amounts of natural gas (the difference (a decrease of 8.6%), and passenger allow any political conditions to be imposed
between the contracted amounts and the transportation to 17,700 people (a decrease in return."
actual consumption) on the wholesale of 13.2%). In the structure of cargo TASS reported Kremlin spokesman
market, and state-owned Energocom transportation, the share of oil and oil Peskov as claiming on December 8 that
bought it and stored it in Ukraine. products in 2021 accounted for 1.89mn Reuters had published a misleading report
Separately, the Moldovan authorities tonnes (a decrease of 8.6%), and other cargo on the gas union proposal, saying: "Reuters
announced in November the first natural accounted for 3.56mn tonnes (a decrease of gave false information, misinterpreted
gas purchases from the European market, 8.6%) . words. We know what was said. Nobody is
through Slovakia. talking about gas in exchange for political
Ceban further explained that concessions. This is not being discussed
Moldovagaz must observe the provisions Uzbekistan rejects Putin’s in the context of the idea of creating this
of the Energy Community Treaty and the union."
national legislation of Moldova. proposed ‘gas union’ Kazakhstan has yet to back or reject the
“I consider that there was no breach of idea of the gas union, with officials saying
the contract, at least on our part,” he said. Uzbekistan has poured cold water on only that the concept would be studied.
“At least on our part” may be interpreted Vladimir Putin’s proposal for the creation The Uzbek standpoint on the proposed
as a hint to Gazprom delivering to of a "natural gas union" with Russia and gas union will be felt even more keenly in
Moldovagaz, since the beginning of Kazakhstan. Moscow right now with multiple reports
November, only half of the contracted Many analysts will take the unmistakably each day of acute winter shortages of gas
amounts. negative response as another sign that plaguing Uzbekistan. The country lately
It may also be interpreted as a separation Russia’s war against Ukraine has caused a froze all its gas exports as officials strived to
of Moldovagaz from Gazprom -- formally growing fissure between Moscow and the redirect limited domestic gas resources to
its majority shareholder, but possibly former Soviet republics of Central Asia. satisfy domestic needs.
subject to discussions if Russia is declared The Kremlin reacted somewhat angrily to Yuri Ushakov, foreign policy advisor
by Moldova's lawmakers to be a terrorist reports of the Uzbek rejection on December to Putin, told reporters on December 8
state -- and Russia in general. 8, stating that the gas union would not that the idea of a common regional gas
involve imposing “political terms” on market would be discussed on December
Uzbekistan. 9 at a Kyrgyzstan summit of the Eurasian
Azerbaijani ships increased on November 28 during talks with Kazakh Economic Union (EEU), Reuters reported.
Putin proposed creating the gas union
Putin was set to attend the Bishkek
transportation of oil and oil President Kassym-Jomart Tokayev in gathering.
Armenia, Belarus, Kazakhstan,
Moscow, where Tokayev headed on his first
products by 160% in January- official trip abroad as the re-elected Kazakh Kyrgyzstan and Russia make up the EEU
bloc. Ushakov said Uzbekistan's prime
leader.
September explained at the time that the mechanism minister was set to attend the summit. 24.kg
Kremlin spokesman Dmitry Peskov
reported on December 8 that a planned
The volume of sea cargo transportation by would be used to ship natural gas between December 10 state visit to Kyrgyzstan
Azerbaijani ships in January-September Russia, Kazakhstan and Uzbekistan to be paid by Uzbek President Shavkat
amounted to 5.66mn tonnes (an increase of and other nations, including China. Mirziyoyev has been postponed. It said
39% compared to the first nine months of The deal would help the Central Asian the reason for the postponement was not
2021), and passenger traffic to 15,800 people countries ensure supplies during peak specified.
(an increase of 26.4%), the government demand. For instance, there are parts
reported on December 8. of northern Kazakhstan that lie beyond

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