Oil: EU & Russia


Richard Moore


The BBC article below is headlined 'terrorism talks', but I
think the more interesting part has to do with oil:

    The Downing Street summit comes the day after Mr Putin met Mr
    Blair and other European Union leaders for talks which focused
    on plans for increased supplies to Europe of Russian oil and
        Soon Russia is expected to be supplying 50% of the EU's
    natural gas needs.

This is interesting from a geopolitical perspective,
particularly as regards Russia's pivotal position in  a number
of developments.

Consider some of the geopolitical 'blocks' that are acting on
the world stage today...


The first 'block' is of course the Anglo-American alliance,
pursuing its oil-dominance strategy in Iraq, Afghanistan,
and soon Iran, and a larger PNAC agenda of global hegemony.

The next 'block' is the EU. Although the EU is in many ways
closely tied to U.S. and British interests, it also has
separate agendas of its own. We must keep in mind that the
PNAC document specifically mentions Europe as a place that
must be 'kept down', and not be allowed to challenge U.S.
hegemony, even on a regional basis. When Iraq was invaded,
German (and Russian) oil deals with Iraq were promptly
cancelled by Washington.  A few days ago I published an
analysis by Chossudovsky, in which he characterized the Iraq
invasion as being primarily a strike against the EU in an
on-going battle between the dollar and the Euro:
    'Chossudovsky on the Anglo-American alliance'

In a very real sense, despite British membership in the EU,
the EU can be seen as an attempt by Germany and France to
create a Euro-based European block that is economically
powerful enough to escape from the dominance of the
petrodollar, and the Anglo-American alliance and oil cartel.
(Keep in mind here Britain's unique position within the EU,
supporting the U.S. in Iraq, and maintaining its own
separate currency.)

Indeed, we are even seeing a continuation of a centuries-old
struggle between Britain and Germany, where Germany has
repeatedly attempted to create a strong European block, and
Britain has each time successfully countered with a
balance-of-powers strategy (e.g., World Wars 1 and 2). Today
that struggle is being expressed as a battle between the Euro
and the dollar, by the EU's attempts to prevent a U.S.
invasion of Iran, and by EU initiatives to create a military
force separate from NATO.

Another 'block' on the world stage is a rapidly developing
alliance between China, Russia, and Iran, with ties also to
India, Brazil, and Venezuela. At the heart of this alliance is
the Shanghai Cooperation Organization (SCO), which is
basically a Chinese initiative to put itself in a position of
regional hegemony in Asia - a direct threat to the PNAC
agenda. Our recent posting from the late Joe Vials may
exaggerate the situation a bit, but he's got the fundamentals


In all of these developments Russia plays a key pivotal role.
By supplying fuel and the latest weapons systems to China, and
participating in joint military exercises with China, Russia
has put its foot squarely in China's camp in a major
geopolitical & economic confrontation between the U.S. and
China. The Sino-Russian alliance is the one and only
significant challenge to U.S. plans for global military
hegemony. With its ties to Iran and other oil sources, this
alliance also challenges the Anglo-American strategy of
oil-based dominance.

Meanwhile, Putin is building ties with the EU, and giving them
access to fuel outside the Anglo-American cartel. To the
extent that the EU looks eastward for allies, the worst fears
of the Anglo-American alliance are being realized. A
Pan-European alliance, extending beyond the Urals, was always
Britain's greatest fear as regards its balance-of-powers
strategy. Furthermore, the stage is being set for a Euro-based
petroleum market, which is another of the worst fears of the
Anglo-American block.

At the same time, Putin is maintaining close relationships
with Washington and London, cooperating just enough to
remain on the 'inside' of decision-making circles in the G8,
the UN Security Council,  international 'anti-terrorist'
initiatives, etc. I found it to be of symbolic importance that
when the U.S. space shuttle recently got into trouble, the
U.S. turned over to Russia responsibility for sustaining the
joint space station. I bet that hurt.



UK and Russia in terrorism talks 

Russia and Britain are due to discuss how best to tackle
global terrorism.

Russia's President Vladimir Putin will hold talks with UK
Prime Minister Tony Blair at Downing Street on the second day
of his UK visit.

Trade is also set to be on the agenda,  with Mr Blair saying
the two countries' economic futures are bound together.

Mr Putin will also present awards to the British crew who took
part in the rescue effort in August to save a team of Russians
trapped in a submarine.

It is over two years since President Putin last visited
Downing Street.

Since then there has been "somewhat of a chill" in relations
between the UK and Russia, said the BBC diplomatic
correspondent Bridget Kendall.

The Kremlin reacted angrily when British courts refused
Russia's request to extradite two outspoken critics of the
Russian government, the prominent Chechen separatist, Ahmed
Zakayev and wealthy Russian businessman Boris Berezovsky,
before granting them political asylum.

But now, "it seems both sides want to put aside their
differences", our correspondent said.

She said much of this was due to the leaders of the two
countries agreeing terrorism needed to be addressed.

And she added that  "both leaders insist deepening trade and
energy ties are to everyone's advantage".

Oil and gas

The Downing Street summit comes the day after Mr Putin met Mr
Blair and other European Union leaders for talks which focused
on plans for increased supplies to Europe of Russian oil and

Soon Russia is expected to be supplying 50% of the EU's
natural gas needs.

"We want to work to take the relationship between Europe and
Russia to a new and more intense and strengthened level," said
Mr Blair.

"Our economic future is now bound up together. But it was
always going to be.

"You know the fact that Russia is a key exporter of energy to
the EU is not something that suddenly happened in the last
year, it's been happening for many years.

"But actually with the right relationship that is a tremendous
benefit to the EU."

Story from BBC NEWS: 

Published: 2005/10/05 05:37:54 GMT 



"Apocalypse Now and the Brave New World"