facebook
twitter
rss
account
search
search
 

'Tug-of-war' likely over Gazprom's grip

Feb. 13, 2013 at 6:57 AM   |   Comments

MOSCOW, Feb. 13 (UPI) -- Liberalizing a Russian natural gas market keen on tapping into growing Asian markets isn't going to be easy for Moscow, a market analyst said.

An energy commission in Moscow is reviewing a measure that would weaken the grip that Russian energy company Gazprom has on gas exports. That would give rival companies Novatek and Rosneft room to ship liquefied natural gas to foreign markets, such as Asia.

Gazprom in January said it set up a joint venture with independent gas producer Novatek for the production of LNG from the Yamal Peninsula.

Valery Nesterov, an investment analyst at Moscow's Sberbank Investment Research, told Bloomberg News that any moves would spark a "serious tug-of-war" between opponents and supporters of liberalization.

"The issue is not going to be an easy one," he said.

Gazprom in late February marks its 20th anniversary. Nesterov said it would be "politically incorrect" for Moscow to make any decisions on the company's position before then.

Gazprom spokesman Sergei Kupriyanov last week told Bloomberg the status quo "is efficient and it meets the state interests."

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Recommended UPI Stories
Featured UPI Collection
trending
2014: The Year in Music [PHOTOS]

2014: The Year in Music [PHOTOS]

Most Popular
1
Kurds raise oil funds for refugees
2
Brazil Air Force, Saab discuss Gripen procurement deal
3
Abercrombie & Fitch axes logos after years of declining sales and bad press
4
U.S. oil pipeline output increasing
5
Google completes first phase of testing drone delivery system
Trending News
Video
x
Feedback