Baku, Moscow strike gas dealJune 29, 2009 - 21:18 AMT PanARMENIAN.Net - Russian gas giant Gazprom clinched a deal Monday to buy natural gas from ex-Soviet Azerbaijan, as Moscow seeks to extend its grip on potential European energy supplies in the resource-rich Caspian Sea.The agreement was signed by Gazprom chief executive Alexei Miller and Azerbaijani national energy company chief Rovnag Abdullayev in the presence of Russian President Dmitry Medvedev and his Azerbaijani counterpart Ilham Aliyev. "I think that we will be able to take this work further, in view of greater opportunities and greater volumes, which will be increased," Medvedev told journalists in Baku. Miller said Gazprom's purchases would start at 500 million cubic meters of gas annually as of January 1, 2010, with the agreement allowing for supply levels to increase later. "The price will be commercially attractive for Azerbaijan because we are neighboring countries so there are no transit states between us," Miller said, without providing further details. "We can therefore begin to buy the gas quickly. There is already a gas pipeline between us," Miller said, adding that the gas would be used for Russian domestic consumption. Miller said the deal will also see Gazprom listed as a preferential buyer for gas from the second development phase of Azerbaijan's enormous Shah Deniz offshore field. "Among all potential buyers, preference will be given to Gazprom and the others will have to offer a more interesting price," he said. Production at the Shah Deniz field, estimated to contain up 1.2 trillion cubic meters of gas, began in 2006 and a second phase of development is expected to see production ramp up by 2015. Monday's deal could cast doubts on the viability of the European Union's ambitious Nabucco pipeline project, aimed at bypassing Russia to deliver Caspian Sea gas to western Europe, AFP reported. Top stories Azerbaijani President Ilham Aliyev arrived in Moscow on April 22 to hold talks with Russian counterpart Vladimir Putin. Authorities said a total of 192 Azerbaijani troops were killed and 511 were wounded during Azerbaijan’s offensive. In 2023, the Azerbaijani government will increase the country’s defense budget by more than 1.1 billion manats ($650 million). The bill, published on Monday, is designed to "eliminate the shortcomings of an unreasonably broad interpretation of the key concept of "compatriot". Partner news | About 173 million drams and more than 30 beneficiary funds. "The Power of One Dram" is 4 years old In June 2020, the exclusive joint corporate social responsibility initiative of Idram and IDBank "The Power of One Dram" was launched. CSTO budget “to be adjusted due to Yerevan’s non-payment of contributions” The CSTO budget for the current year requires adjustments due to the refusal of Yerevan to pay their share of contributions. Russia sends note of protest to Armenia over envoy’s trip to Ukraine’s Bucha Russia has sent a note of protest to Armenia over the visit of Vladimir Karapetyan and Tigran Ter-Margaryan to Bucha. Armenia: Protesters march to parliament, some spend the night on street The protesters did not disperse despite heavy rain that began at around 2 a.m. local time. |