Russians stop gas shipments to Europe

[DarkCloud]

Finally, a citation, and thank you snoopy and Colon for encouraging me to do some recent research to update my knowledge.

Oil sands are viable at 80, snoopy is correct.

http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=cd79bccc-3fd5-4939-8846-d9b87675cdb2

This article claims oil sands are viable at 60: (but frankly, I think that is somewhat company propaganda- it refers to already established fields, not taking into account the costs of developing new fields. And of course, different fields have different weighted crudes, some of which are more expensive to refine.)

http://www.nationalpost.com/story.html?id=917018

But note... the companies have "pulled back on investment in new fields." in both articles.

[snoopy369]

http://www.nationalpost.com/story.html?id=917018

For example (showing it is still viable, and around 30% profit, at US$60/bbl).

edit: nice crosspost...

Certainly they are pulling back, because even if it is viable at that price, it is expensive to produce anything new in the current time, with low credit availability and an uncertain economic climate.

[Colonâ„¢]

Russia and the EU signed a deal (with Ukraine still to go): http://news.bbc.co.uk/2/hi/europe/7822093.stm

I love to bash Russia just as much as anyone else but I don't get what all this jabbering about Russian agression and European wimpiness is about. In this case, Ukraine is just as much a culprit for the crisis as is Russia, and there's little indication Putin was aiming for the West. Once the EU were affected regardless, they got themselves involved and got gas flowing again.

[Colonâ„¢]

BTW, it's pretty hard to avoid Russia as a supplier considering they have a third of the world's gas reserves.

[Traianvs]

Bah, Russia was just as anxious to sign a deal with Europe. More than half of Russia's wealth is derived from the oil/gas industry. With the current prices in serious decline, the Ruskies are desperately gasping for air and money. They need a steady production and delivery of resources to finance their ramshackle state. No way they could keep up the poker game for a considerable amount of time.

Europe and Russia are interdependent so they won't try and screw each other for small political gain in the Ukraine, and from the European point of view I wouldn't worry too much about Russia's leverage on this issue. They merely use it to pressurize Ukraine politically, but seeing that country has accumulated a sizeable reserve this method is not very effective.

[Traianvs]

If anything, this merely reminds Europe to do its utmost best to diversify its energy suppliers. It's a hot topic in EU discussion already, so this petty conflict is nothing but some fiddling in the margin.

[TCO]

The Ukraine has no obligation to allow a single molecule to pass through their country. The Europeans are going to help the Russians. And if you don't think Russia has been trying to intimidate Ukraine with poisonings, Crimea, Georgia war...well you are being a European. Need death penalty and guns at home like raw Americans.

[Dinner]

If anything, this merely reminds Europe to do its utmost best to diversify its energy suppliers. It's a hot topic in EU discussion already, so this petty conflict is nothing but some fiddling in the margin.

That would be smart but on the down side we would no longer get to laugh at you as you got sodomized over and over and over again by Putin.

[Colonâ„¢]

TCO is pissed the EU decidedly resolved the dispute.

[Colonâ„¢]

He's also saying Ukraine is keeping both Russia and the EU hostage.

[Dinner]

TCO is pissed the EU decidedly resolved the dispute.

So did the EU drop its pants and agree to give Putin more money or was it just a symbolic assraping this time?

[Asher]

Finally, a citation, and thank you snoopy and Colon for encouraging me to do some recent research to update my knowledge.

Oil sands are viable at 80, snoopy is correct.

http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=cd79bccc-3fd5-4939-8846-d9b87675cdb2

This article claims oil sands are viable at 60: (but frankly, I think that is somewhat company propaganda- it refers to already established fields, not taking into account the costs of developing new fields. And of course, different fields have different weighted crudes, some of which are more expensive to refine.)

http://www.nationalpost.com/story.html?id=917018

But note... the companies have "pulled back on investment in new fields." in both articles.

Oil sands are PROFITABLE at around 38/barrel present-day.

They won't start green-lighting more until it hovers over 50/barrel.

[BeBMan]

So did the EU drop its pants and agree to give Putin more money or was it just a symbolic assraping this time?

Maybe he just realized that Russia hasn't much to sell besides oil and gas....

[TCO]

Colon: you HAD an agreement with the Russians before. The issue is not having an agreement with the people in the middle.

[Dinner]

I don't know. The Ukraine had a deal which they honored but the problem is Russia wants to punish the Ukraine for not being Putin's ***** and letting Putin dictate everything to the Ukraine.