According to the East European Gas Analysis
, the politically-motivated decrease cost Gazprom about US $4b in missed revenues, and cost the Russian budget about US $1.5 b in missed taxes.
"Decreasing oil-indexed prices for gas and lower sales are likely to drive Gazprom to the red this year," said Mikhail Korchemkin of East European Gas Analysis
, forcing the firm to reduce its investment programme.Russian state-controlled Gazprom sells most of its gas under oil-linked contracts.
Mikhail Korchemkin, a Gazprom analyst with the East European Gas Analysis
, told (http://www.reuters.com/) Reuters that Gazprom also failed to raise the money needed to complete the project.
Mikhail Korchemkin, the director of East European Gas Analysis
, a US-based energy consultancy, estimates that Iran could take Russia's place as the main European natural gas supplier in the course of a decade if it were allowed to begin investing in pipelines and exporting freely to the West.
"The rules of the Third Energy Package envisage half of the capacity of South Stream to be auctioned, so Gazprom will compete with the Shah Deniz consortium" Mikhail Korchemkin, Managing Director of East European Gas Analysis
, is quoted as saying.
Compare the cost of gas pipelines with very similar technical specifications built in places with a similar climate and geography, as reported by East European Gas Analysis
. One is the Gryazovets-Vyborg pipeline in Russia; the other is the OPAL pipeline in Germany.
Based on the costs announced for South Stream's twin project in the Baltic Sea, Nord Stream, South Stream costs outside Russia would be at least $32 billion, Kommersant quoted Mihail Korchemkin, head of consultancy firm East European Gas Analysis
, as saying.
The result, predicts Mikhail Korchemkin, managing director of US-based East European Gas Analysis
, will be a sustained fall in American demand for LNG, depressing prices and creating surpluses for EU importers.
According to East European Gas Analysis
analyst Mihail Korchemkin Russia's Prime Minister Vladimir Putin sensed that Nabucco is gathering momentum and is now trying to put a spoke in its wheel.
He said Bulgaria paid 5 per 1,000 cubic meters for gas, compared with 0 paid by Germany and 5 by Turkey for gas that transits Bulgaria, citing figures published by East European Gas Analysis
, a US consultancy.
The Director of East European Gas Analysis
Mikhail Korchemkin is quoted as saying Gazprom also has other disagreements with Bulgaria such as the latter's insistence on a new gas supply contract eliminating two of the three existing intermediaries.