Russian Oil and Gas Industry: News

kvs wrote:In my view the prime motivation for "normalizing" relations with Iran by the west has been to gain access to its
gas reserves.   Remember the Nabucco pipeline project?  It went nowhere because there was not enough gas to
fill it from the Central Asian 'stans (Kazakhstan, Azerbaijan, and even Turkmenistan which was over-committed to
China and did not have the production levels).  

So now the EU is trying to resurrect Nabucco and I think Iran will be willing since it needs the money.   I think Russia
has no reason to fret and it is in its interests for Iran to become a EU supplier.  Russia's natural gas supply is not
infinite and having another major supplier to the EU will remove the ceaseless EU-tard paranoia about "energy security".
It is a bad position for Russia to be the sole supplier since any supply disruption is treated almost like an act of war.

KoTeMoRe wrote:

magnumcromagnon wrote:

PapaDragon wrote:

JohninMK wrote:This, if for real, is a huge bombshell for the US/EU hopes of reducing dependence of Russian gas with imports from their new buddy Iran.

VIENNA, July 23. /TASS/. Iran may start liquefied natural gas (LNG) supplies to Europe in 5-10 years, Iran’s Deputy Oil Minister Amir Hossein Zamaninia told TASS on Thursday.

Iran may increase gas production to 1.1 bln cubic meters daily by 2017 — official

The deputy minister said such option is more preferable than building a gas pipeline to supply gas to European nations. Zamaninia said the price in Europe now is much lower than in South-East Asia and therefore there is no sense in pipeline gas supplies to Europe. Europe may become the market for Iranian gas in the mid-term, the official said at the Iran/EU investment and trade conference.

Zamaninia said the EU always consumed Iranian oil. Europe may be a market for the Iranian gas in the mid-term and long-term, he added. The deputy minister said natural gas will remain the preferable energy source in the foreseeable future. Iran and the EU may reach long-term relations in politics and the economy and in oil and gas sphere, Iran’s deputy minister said.

Also posted in the Iran News thread.

Meh, by that time Russia will be pumping both gas and oil to Asia big time, North Stream 2.0 will be fully operational, Turkey will be buying their share of RU gas and it will be Russian companies that will have big chunk in Iran petroleum industry.

Ruskies were not putting all that effort into removing Iran sanctions just because they were bored.  

Likely if that goes through, then it will probably come with Russia's approval, which entails to:

1.) The revenue from Persian gas being sold to Europe, may then be repaid by buying goods from Russia.

2.) Likely they'll use existing infrastructure built by Gazprom, in which Russia will earn transit fee's, as well as repair and maintenance fee's for pipeline up keep.

3.) As you said Russian companies will likely hold big shares, especially if Iran accepts the free-trade zone with the EEU (or possibly even join as a member of the EEU at a later point).

Forget about FTZ between Iran and the EU. There's litterally nothing that Iran can sell to the EU (bar hydrocarbons) and those are accise prone anyway. And as we have seen the EU will use that income as a lever against Iran (especially with the Saudis around the corner) so NO, no FTZ there. And even if Iran builds a dedicated pipeline, the current 3rd Energy package will pretty much make it non-worthy as you can't sell your gas and own your own infrastructure...

So yeah better pay a fee to Russia and play as a team, instead of being slowly but surely taken out of your own investment...

kvs wrote:In my view the prime motivation for "normalizing" relations with Iran by the west has been to gain access to its
gas reserves.   Remember the Nabucco pipeline project?  It went nowhere because there was not enough gas to
fill it from the Central Asian 'stans (Kazakhstan, Azerbaijan, and even Turkmenistan which was over-committed to
China and did not have the production levels).  

So now the EU is trying to resurrect Nabucco and I think Iran will be willing since it needs the money.   I think Russia
has no reason to fret and it is in its interests for Iran to become a EU supplier.  Russia's natural gas supply is not
infinite and having another major supplier to the EU will remove the ceaseless EU-tard paranoia about "energy security".
It is a bad position for Russia to be the sole supplier since any supply disruption is treated almost like an act of war.

Austin wrote:interesting read atleast for the stastics

Deutsche Bank on Russian 'Break-Even' Oil Prices

Gazprom and SIBUR signed the "contract of century" on the construction of the Amur gas processing plant, the price of which, as previously reported, is estimated at 791 billion (includes VAT and the contractor's remuneration).

Parties reported that the company "Gazprom processing Blagoveshchensk" and JSC NIPIgaspererabotka (NIEGAS, is part of the SIBUR group) "had agreed to a partnership for the design, coordination of deliveries of equipment, materials and construction management of the Amur gas processing plant (GPP) in the Northern city Free the Amur region".

Amur GEA will become the largest in Russia and one of the world's largest enterprises for processing of natural gas — its design capacity will amount to 49 billion cubic meters per year. The composition of the GEA will also include the world's largest helium production.

"Attracting Niigata — the leading Russian center for design, engineering and management of construction companies oil and gas refining and petrochemical industries - will most effectively implement the project. NIEGAS has the appropriate competences, advanced scientific-technical and intellectual base, has a successful experience of managing large investment projects on processing of hydrocarbons, including with foreign companies," — said in a joint release.

In the framework of the joint project NIEGAS as contractor, will ensure the preparation of documentation, supply of equipment and materials, construction and installation works on the Amur gas processing plant and will realize transmission of LLC "Gazprom processing Blagoveshchensk plant in the mechanical condition of readiness.

On the Amur GPP through the pipeline "Power of Siberia" will come multicomponent gas from the Yakutia and Irkutsk gas production centers created by Gazprom in the framework of implementation of the Eastern gas program. Commercial products of the GEA will be methane, ethane, propane, butane, pentane-hexane fraction and helium. During the construction of the plant will be used the most modern technological solutions that allow to minimize the plant's impact on the environment.

In accordance with the project implementation schedule in the current year it is planned to start preparing the site for construction. The phased commissioning of production lines plant will be synchronized with production capacities development in Yakutia and Irkutsk region.

Amur GPP "Gazprom" will be technologically linked with the enterprise for deep processing of hydrocarbons, the construction is currently considering "SIBUR".

The government previously supported the request of Gazprom on the award of the project Amur GPP status of territories of priority socio-economic development (TOR).

US imports of Russian crude oil in the past two months have reached their highest level in three years, British media reported on Saturday.

Karl Haushofer wrote:Finnish Sanoma-media is saying that Igor Sechin thinks that Russia will have a deficit of gasoline by 2017 unless Russia's oil refining industry is not rejuvenated: http://www.hs.fi/talous/a1305976138628

BS article or does this have any merit?

PapaDragon wrote:
Guys, guys chill...

Here is a well written article to heal whatever ails ya'

The US-Saudi Oil Deal: From “Win-Win” to “Mega-Loose”

http://www.globalresearch.ca/the-us-saudi-oil-deal-from-win-win-to-mega-loose/5467991

Abridged version here:

Saudi Determined to Crash Oil Prices Until US Shale Breathes Its Last

http://sputniknews.com/politics/20150808/1025540019.html

Karl Haushofer wrote:

PapaDragon wrote:
Guys, guys chill...

Here is a well written article to heal whatever ails ya'

The US-Saudi Oil Deal: From “Win-Win” to “Mega-Loose”

http://www.globalresearch.ca/the-us-saudi-oil-deal-from-win-win-to-mega-loose/5467991

Abridged version here:

Saudi Determined to Crash Oil Prices Until US Shale Breathes Its Last

http://sputniknews.com/politics/20150808/1025540019.html

I never understood this. You can never kill the shale industry for good by lowering the oil price, because once the price gets up again the shale industry also comes back.

The refineries are also hurting because of Western sanctions, which are preventing them from using critical foreign technology.

Project Canada wrote:

The refineries are also hurting because of Western sanctions, which are preventing them from using critical foreign technology.

What are these "Technologies"? can't they just grab the blueprints, reverse engineer them or something and start producing products from these so called Technologies locally  and use them in their oil exploration/extraction operations?

Project Canada wrote:

The refineries are also hurting because of Western sanctions, which are preventing them from using critical foreign technology.

What are these "Technologies"? can't they just grab the blueprints, reverse engineer them or something and start producing products from these so called Technologies locally  and use them in their oil exploration/extraction operations?

Due to its flexible configuration, Bashneft’s refining complex can process various types of hydrocarbons: low- and high-sulphur oil, various types of gas condensate, medium and heavy distillates produced in the course of cooperation between the refineries.

Bashneft’s refining complex includes a wide range of modern high-technology process units; as a result, the Group has the highest Nelson Index in the industry (8.93).

A delayed coker, sulphuric acid alkylation and sulphuric acid regeneration units, a catalytic cracking gasoline hydrotreater and a hydrogen production unit commissioned over the last few years have enabled the Group to become an industry leader in terms of refining depth (84.8%) and the share of light products (61.1%) and to ensure the feasibility of producing 100% of fuel to the Euro 5 standard in accordance with the Technical Regulations.

One of the largest aromatic hydrocarbon production complexes in Russia processes straight-run gasoline into benzene, paraxylene, orthoxylene and toluene, which play an important role in petrochemical production.

sepheronx wrote:If I was part of the ministry of internal affairs, I would put out a complete audit of Mr. Sechin.

Question I have for Sechin is: What about the current refineries?  All of a sudden, they will stop work and thus leave a demand, that needs to be filled (thus creating a profit)?  That doesn't make sense.  Nor does the fact that once the refineries are up, they are up.  Hence why Russia was able to operate same refineries from 1940's to now (of course upgraded).  Also, it wasn't long ago that I believe it was both Rosneft and Gazprom that got slapped on the wee wee for trying to export a huge portion of the refined oil (petrol) to third countries, creating an artificial glut in order to rake in further profits from back home (sounds familiar, right KVS?).

There wont be a glut.  They said the same thing with Iran back in the early 2000's and Iranians were making a killing with smuggling gas across the borders because they had far too much petrol.

As well, if they didn't have the technology to produce it, then how come they were able to sign agreements like this:

http://www.ogj.com/articles/2015/02/uganda-taps-russian-firm-to-build-country-s-first-refinery.html

I should add though, what Sechin could be referring to is Euro 5 standard.  As they produce petrol at the European standard and I would assume that some of that technology is imported to make sure it is at that standard.  If that is the case, they can adjust for themselves at what standards they can refine their fuel at.  But the rest of it is either CNN putting their own spin on things or Sechin looking for ways to get tax exemptions to continue to plunder Russia's resources for cheap, and gain higher profits (now that their profit margins have dropped).

sepheronx wrote:http://tass.ru/en/economy/813434

Wait a minute! Gazproms profits over 1.5X in Q1 of this year? And debt down by 12%?

I thought western news said Russian oil and gas companies are hurting....