Russia 090508 Basic Political Developments



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National Economic Trends


  • Medvedev calls for reducing Russia's dependence on food imports

  • Russian monetary base down 0.01% in week to $117.1 bln

  • Russia’s Delinquent Loans Prevent Lending Revival

Business, Energy or Environmental regulations or discussions


  • MICEX Rises Above 1,000 - Surging oil prices, encouraging stress-test results for Russian banks and a series of positive economic forecasts buoyed investor optimism Thursday and lifted the benchmark MICEX Index past 1,000 for the first time since Oct. 1.

  • UralSib Market Overview: Rally continues lead by banks

  • Russian bank stress test says system OK down to $25 oil - The Central Bank of Russia carried out its own banks sector stress test to gauge what the impact of a sharp fall in oil prices would have on the financial sector.

  • Russia’s VEB Tightens Bank Borrowing Rules to Stimulate Lending

  • Mosenergo: investment policy awaits end to capacity market problems

  • Railway cargo turnover down 14.6% in April vs. 20.1% drop in

  • Peter Hambro Mining reports robust 1Q09 production update

  • Russia's Severstal says to idle more U.S. ops

  • Production pruning - Evraz to restart ZapSib BF No 3

  • Amur Minerals wins Russian exploration approval

  • GAZ Group to facilitate Opel production in Russia

  • Odfjell vs. Sevmash in court - The Norwegian shipping company Odfjell demands more than USD 100 million from Russia’s Sevmash naval yard after it cancelled the construction of 12 chemical carriers last year.

  • UPDATE 1-Rambler Media CFO steps down

  • New valuation benchmark by Carrefour?

Activity in the Oil and Gas sector (including regulatory)


  • Ukraine government to earmark more revenues for gas payments

  • Novatek OAO (NVTKq.L) and other independent gas producers cut gas production less than Gazprom

  • Nord Stream shapes up with Greenpeace

  • WWF claims Nord Stream environmental impact assessment is incomplete

  • The southern energy corridor in context (2) - The gas row between Russia and Ukraine, which escalated into the “New Year’s crisis,” exposed European disunion along differing levels of Russian gas dependency and clashing concepts of energy security. Russia, on the other hand, has been able to capitalize on this.

  • US-Canadian Shale Could Neutralize Russian Energy Threat To Europeans

Gazprom


  • 4-Year Novatek Deal - Novatek has asked shareholders to approve a transportation contract with Gazprom worth 115 billion rubles ($3.5 billion).

  • Population rejected Gazprom drilling plans - Gazprom subsidiary Gazflot this week conducted public hearings on planned exploration drilling in the Taz Bay, a branch of the Ob River. The local population however wanted no drilling and rejected Gazprom's plans

  • Firtash's Firm Fights To Recover Emfesz - A company controlled by Ukrainian businessman Dmitry Firtash said Thursday that it was fighting to recover control of Emfesz, a major Hungarian gas distributor, from a mysterious firm called RosGas that has been linked to Gazprom.

  • Gazprom, Eni disagree over South Stream role - A dispute has erupted between Italian oil major Eni SpA and Russian state-controlled Gazprom over the role Eni will play in the South Stream gas pipeline, an Italian government source said on Thursday.

  • Politika: 400 km of South Stream to run through Serbia

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Full Text Articles

Basic Political Developments


A/H1N1

Two Russian tourists with running temperature put under quarantine

http://www.itar-tass.com/eng/level2.html?NewsID=13917945&PageNum=0

HANOI, May 8 (Itar-Tass) -- Two Russian tourists with the running temperature were put under quarantine on Thursday at a checkpoint in Laobao in the central Vietnamese province of Quang Tri on the border with Laos, a source in the Russian Embassy in Hanoi told Itar-Tass on Friday.

Russian tourists – a man and a woman arrived in Vietnam from Laos by a tourist bus. A Ukrainian man and a Canadian woman were traveling with them and were also brought under quarantine, after the running temperature had been measured in all four tourists. The foresaid tourists will undergo a complex medical examination for their possible contamination with the flu virus A/H1N1.

Russia signals may lift pork bans next month-USTR


http://www.guardian.co.uk/business/feedarticle/8495581
Reuters, Thursday May 7 2009

WASHINGTON, May 7 (Reuters) - Russia has signaled it may lift bans placed on pork in the wake of a global scare about a new flu strain as early as June 1, a spokeswoman for the U.S. Trade Representative said on Thursday.

"Russia has indicated that its bans may be lifted as early as June 1," Nefeterius McPherson said in a statement, noting USTR Ron Kirk had engaged high-level officials from countries that trade with the United States about bans on pork.

Health officials have said the virus, originally termed swine flu, cannot be contracted by eating pork, and world trade officials have called the bans unjustified.

Russia, the fourth-largest export market for U.S. pork, has banned all meat from five U.S. states and banned raw pork from a few others.

It has also banned pork from certain Canadian provinces, the United Kingdom and Spain.

The United States, Canada and Mexico have said they will fight bans on pork, which they called unscientific. (Reporting by Roberta Rampton; Editing by David Gregorio)

Lavrov says new START to be key issue at Russia-US summit.

http://www.itar-tass.com/eng/level2.html?NewsID=13917329

WASHINGTON, May 8 (Itar-Tass) -- Russian Foreign Minister Sergei Lavrov said a new strategic arms reduction treaty (START) will be the key issue at the upcoming Russia-US summit in Moscow in July and experts will work in the coming months to provide proposals for the Russian and US Presidents, Dmitry Medvedev and Barack Obama.

“The priority issue to be discussed at the summit will be the new treaty,” Lavrov said on Thursday in Carnegie Foundation. “We need a new treaty and we are actively working on it,” he added.

The provisions of START-1, which expires later this year, have been fulfilled and overfulfilled, according to Lavrov.

“It is no longer an efficient instrument in the sphere of strategic arms control. Therefore, we see no grounds to prolong the treaty,” Lavrov said.

He hopes common parameters acceptable for both parties may be designed by the end of the year. “Time is running fast,” the minister said, adding experts would work in May and June to provide a report for the presidents on prospects of a new treaty.

“Our position is based on the balance of strategic offensive armaments and strategic defensive armaments,” he said.

Further strategic arms reduction will promote nuclear non-proliferation, according to Lavrov, who called on the United States to ratify the Comprehensive Nuclear Test Ban Treaty (CTBT).

The Nuclear Non-Proliferation Treaty (NPT) is a key element of modern international security system, Lavrov said, adding “it is no secret that the non-proliferation regime is living through hard times.”

“The fate of the global non-proliferation system greatly depends on the positions of our countries, which are the main nuclear powers,” the minister said adding US ratification of CTBT would be “an extremely important step”.

“It is well known that some key countries do not ratify the document because they follow the US position. Therefore, if Washington ratifies it, there will be something real that can be submitted for exacting consideration of the Non-Aligned Movement in the framework of the upcoming NPT conference next spring,” the minister said.

“Joint US and Russian efforts can promote NPT productiveness and strengthen its three components (non-proliferation, peaceful use of nuclear energy and disarmament),” Lavrov specified.

Russia is ready to assist the United States in reaching mutual understanding with Iran. Lavrov said Iranian nuclear problem can be resolved only by multilateral effort.

Russia “welcomes the message of President Obama to the leader and the people of Iran, which expressed intention to normalize relations”, he said.

Joint effort is also necessary to settle the nuclear problem of North Korea and the situation in Afghanistan.

Both Russia and the United States are interested “in stabilizing the situation in Afghanistan as soon as possible and in securing a lasting peace in the country and in the whole region”, Lavrov said, adding Pakistani assistance in the effort is becoming a very viable factor.



The results of Russian FM Lavrov's meetings in Washington are reassuring – Rogozin

http://www.itar-tass.com/eng/level2.html?NewsID=13918720&PageNum=0

MOSCOW, May 8 (Itar-Tass) -- The results of Russian Foreign Minister Sergei Lavrov's meetings in Washington are reassuring, Russian permanent representative to NATO Dmitry Rogozin said on Friday.

"The results of Lavrov's meetings with U.S. President Barack Obama and Secretary of State Hillary Clinton are reassuring. We have hope that the process of the so-called reset or review of our relations, despite the fact that it is subjected to tests, is not broken," he said, adding: "We will move farther."

The Russian side is "in a better mood today than yesterday", he said.



Obama sees “excellent opportunity” to reset relations with Russia.

http://www.itar-tass.com/eng/level2.html?NewsID=13917299&PageNum=0

WASHINGTON, May 8 (Itar-Tass) -- US President Barack Obama said on Thursday after meeting Russian Foreign Minister Sergei Lavrov he saw an “excellent opportunity” to reset previously strained relations with Russia on a wide range of issues.

“We have an excellent opportunity to reset the relationship between the United States and Russia on a whole host of issues,” Obama told reporters after the meeting. Those issues, he said, include nuclear proliferation, the situations in Afghanistan and Pakistan, conflicts in Iraq and the Middle East, and the global economic crisis.

Obama also reiterated his intention to visit Moscow for talks with Russian President Dmitry Medvedev in the summer.



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