Can Europe Survive Without Russian Gas?

Tyler Durden's picture

The western world has placed many sanctions on Russia and its economy. However, Russia holds major leverage over Europe; it has oil and Europe needs it (and may just do a 'deal').



Source: Visual Capitalist

As Saxo Bank notes,

Tensions rise in Eastern Europe, as the western world hits Russia with new sanctions. Late last month, President Obama and the European Union imposed sanctions in hopes of deterring President Putin from further aggression and putting an end to his support of Ukrainian separatists.


The aim of previous sanctions was to focus on specific individuals and businesses, while the newest ones are aimed at major pillars of the Russian economy. The oil industry is a major target, as Russia has become the world’s largest oil producer and it accounts for a large portion of the Russian economy.


However, the sanctions against Russia do not target the country’s natural gas sector or its state-owned Gazprom, as about one-third of Europe’s gas supplies come from Russia. Last year, Gazprom exported 162 billion cubic meters of gas to Europe.


The escalations in oil sanctions have the potential for major price hikes for Europe, especially since the winter season approaches, which is the peak gas consumption period. If Russia cuts off gas to Europe, then many nations will be scrambling to find alternative gas suppliers and it will inevitably drive up prices.


Also, President Putin signed a $20 billion oil deal with Iran to mitigate western oil sanctions. The deal will see the two nations cooperate on the production and sale of oil, and Russia will help develop Iran’s energy infrastructure and equipment.

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philipat's picture

That Russian tank driver looks more like Obozo (Without the ears)...........

CH1's picture

Obviously, the answer is no... or something very close to no.

Publicus's picture

It's really easy, demand for payment in Ruble and the Euro will turn worthless.

Latina Lover's picture

Until alternate energy technologies (think Tesla) are finally released to the hoi polloi, Russia will be a dominant supplier of nat gas and oil to Europe for years to come.


The only reason Russian energy is a problem for Europe is because the USSA does not want to lose its grip over the old continent, thus the need to bully, threaten and create false threats. Europe does not need the USSA, and neither does Russia.

knukles's picture

Love the propaganda cartoon.  merMel holding the valve, threatening to shut off the gas because Vlad is threatening her with a tank.

Hah ha ha ha
Ass backwards.... should be Vlad threatening her with a tank while slowly turning the screw.

Fucking Perceptions Management

RaceToTheBottom's picture

I thought the Czech Republic and Slovakia were both above 90% yet no listing.  Does that mean that they can reverse flows and get it from other sources?

Keyser's picture

I hate to admit it, but the US has become quite impotent in the last 6 years, which is the image portrayed by it's leader... If the EU circumvents the sanctions on Russia, it's the end of US hegemony... The drumbeat is getting louder...

Boris Alatovkrap's picture

If Europe is want more Russian Gas, Boris is recommending eat more cabbage roll in daily dietary.

wee-weed up's picture

Euroweenies tend to end up with what their stupid Leftist politics deserve.

Ghordius's picture

this myth of socialist europe seems to be very widespread and important to a certain narrative

Uncle Remus's picture

When is a myth not a myth? You are a socialist in the broad sense of the word.

Ghordius's picture

Uncle Remus, humans are socialists in the broad sense of the word. And by writing replies on a blog, we are socializing

in fact, we are usually born in a communist environment, from our baby perspective: no say, all provided for

and then we usually progress to a socialist environment: our educational stage

if you want to call me a socialist, I'd prefer a more pointed example. (btw, I was raised in a fascist household and I'm a small entrepreneur)

Uncle Remus's picture

Let me rephrase then - statist.

Ghordius's picture

in the Webster's definition as an advocate of statism, i.e. the "concentration of economic controls and planning in the hands of a highly centralized government often extending to government ownership of industry"? hardly so. in fact, I'm usually recognized as the opposite of that. In my book, the state has only one goal: the avoidance of the "Tragedy of the Commons". i.e. it has to be kept out of everything that can be done better by private means... excluding force, if possible

nevertheless, yes, the state should be caring for the common good(s). so this makes me a non-anarchist. I'm sympathetic to anarchist criticism, though

Uncle Remus's picture

Well, Webster isn't controlling the meaning of words in the public narrative now is he.

Obfuscate and misdirect at your leisure Ghordo, it will not change the outcome. And it's reasonable to say that none of us will care for it.

Ghordius's picture

Uncle Remus, come on. You bring a word in a language that is not by far my first. From a country where "liberal" seems to mean "socialist"

I'm a centrist, here. And if you look it up, you'll see that even in Europe Centrism means slightly different things in different countries. So perhaps I should say I'm a moderate. I'm old, I have been shot a few times in my life, I fear death slightly less than ignominy, and last time I visited the US it was 30 years ago

Meanwhile, who is your avatar? Or, how would you describe yourself, politically? (My guess is anarchist, but what flavour?)

teslaberry's picture

there are 2 overall visions for the future . 


one where war prevails---spearheaded by u.s. agitation ( or the illuminati banksters or secret natzi's if that's who you believe is in control but i dont'. )


the other is where , due to a cooperative agreement between europe , russia and china----peace 'breaks out'. 


now, looking at the history of conflict since ww2, many people would say---that we had 'peace' since world war 2 because the cold war never went hot. if that 'is' peace, then we're most definitely headed for war. 


but if that perspectiv'ism' on peace is just a readjustment of the general view that we had bi-hegemonic cold war replaced by hegemonic war only to push forward towards a major financial impasse for the hegemonic u.s.-------then the possibilty of 'peace' breaking out as a result of the 'failure' of the hegemon to be able to agitate more global war [ because after all it not only requires false flags but LOTS OF MONEY to agitate a war ]. ======goes up , because 'peace' is simply russian and china winning, because their strategy is to prevent agitation by the hegemon until the hegemon has internal civil disturbance. 


some people say 'peace breaking out' really just means a political implosion of the united states akin to that of the soviet union; which could ALSO be a situation in which the bankster natzi's get to dictate down the united states under a new world order led by the BIS , the FED brussels and the shanghai cooperation council participating in the new SDR on much more advantageous terms. 


either way---american peasantry are fucked.   but i'm not so sure they fare better under peace than war. it's really hard to say. peace is war and war is peace , or maybe.....everything is war, and you just rather deal with a war on your own terms than on someone elses'. 


eaither way-------i wrote my above thesis to emphasize that it will NOT be europe that determines the outcomes of war or peace, it will be the incumbent superpower of the united states , with u.k. as runt superpower coming to terms with the russo sino axis with india playing the runt for them. 

if there is any X factor it is more likely the defection or lack of cohesion amongst the emirati. who seem to be at play between iran and saudi arabia. 


europe remain the primary golden goose hostages in a conflict like this. with france simply living the self deception about somehow being as 'independent' as the u.k. in this conflict because she has nukes and a few defense contractors remaining in business that will soon be on their last legs as they are outcompeted by the chinese. 


eu's circumvention of sanctions wouldnt' be due to their defection from u.s. hegemony, it will be because russia checkmated the u.s. that the e.u. is left with no other choice should it defect from u.s. hegmony. 


could that be teh breakout of peace? i doubt it. the u.s. holds a major trump card and could send the e.u. economy into a ditch overnight if it felt that would be necessary to agitate a fast war.  the e.u.'s weakness is not necessarily a problem for the u.s. UNLESS the german's find a way to maintain economic intertia . should the e.u. break apart, germany's economy will be haead over heels screwed. as the e.u. after all was a trap for the occupied german subjects. with a weak post e.u. germany STILL occupied by u.s. troops , it would be easier than ever for the u.s. u.k. intelligence services to sew dischord. 

as progressive as the germans may find themselves, and as much as you'd like to believe the german public is capable of steering their leadership through democratic means towarsd a 'breakout' of peace. that remains a dubious possibilty so long as the u.s. occupies their country. 


when those protesters agitate for and get the u.s. to withdraw troops, i will take the possibility of peace breaking out more seriously. 



Buck Johnson's picture

You don't understand, grip or no grip Russia has alot of natural resources that the other parts of europe just don't have.  So yea they have a grip but is it any different from the US having it's grip on the Western world. 

RECISION's picture

I reckon Russia should declare a sort of Monroe Doctrine for europe - tell the USA to Fuck off and stick to its own hemisphere.

strannick's picture

The USA has nothing to offer but derivative debt and Military death. The sooner it takes Ron Pauls advice and reads its Constitution and fucks off out of Europes face, the better the world will be. But it's CIA and Bankers will never allow that, And the Mainstream Media tells the world America's evil is for its own good.

America ruins the world to rule it

teslaberry's picture

same as ghengis khan and all other empires. after the rule is created, over time there remain fewer and fewer peasantry to tax. 


then the game changes...that's history. resources don't make you the king, they simply help you obtain leverage if you are able to ue them properly. i'm not sure russia can take over europe in just a few political-economic  episodes simply because she can shut off the gas. 


if you shut off that gas---you also lose political cred, which is where the american state-departemtn steps in to ratchet up the war talk and possibly to give the necwessary support to pro-war groups and false flaggerts.

IndianaJohn's picture

Buck Johnson, -- yes it is different; the US grip can't heat your house or your powerplant.

yogibear's picture

Raise the prices and demand payment in gold.



knukles's picture

Or rubles.  Take either one quoted in gold and by golly, the whole Western Edifice comes a crashin' down.... Because West ain't got enuf gold or rubles.  Am I the only guy who sees this coming?

Uncle Remus's picture

Sounds like a great time to start a newsletter with a paywall knuks.

Buck Johnson's picture

Putin is playing chess, he won't demand that.  He will wait and see if we continue to be jack asses and stop trying to provoke Russia into a war.

813kml's picture

US will give EU a nice dutch oven to ease the chills.

Bossman1967's picture

Germany has those old ovens we could crank back up. Yes I know but had to say it in bad taste

Uncle Remus's picture

Ironically, arbeit macht frei.

Bossman1967's picture

So know we are going to bomb Iran Russia, china Isis and Syria am I missing anyone oh ya the rest of the briks.

db51's picture

Freeze you stupid assholes.   Your idol Barry Butt Boy Obama was complaining because it was too fucking cold at Martha's Vineyard.   I doubt if he's worrying about his gas getting turned off.

TungstenBars's picture

Can someone please explain why many western European countries are America's lapdogs, even when following the US hurts them so much? What is this hold the US has on western continental europe?

db51's picture

a bunch of libtard Europeans. The EU is as fucked up as Hogan's Goat.   The French - The Royal Family - and they drive on the wrong side of the fucking road.  I rest my case. 

Divine's picture

The british people drive on the wrong side. Not many other countries do that in Europe.


You need to get out of that shithole you call USA and see some world.

douglas's picture

Why do you think the NSA spies not just on our own public figures (Senators, Congressmen, Supreme Court Justices, etc...) but also on the the heads of state of both unfriendly and friendly governments (Angela Merkel is the perfect example).  Almost everyone has ¨things¨ they would at least prefer to remain private, in some cases this is more than enough to go against the interest of your constituents and support the interests of the US government - after all, ¨It´s better to shoot yourself in the foot that to have the NSA shoot you in the back¨. 

FrustratedLogician's picture

I could speculate but if someone believes it is all about money they are delusional.

Firstly, I bet that once you have enough money to not worry about it, like Putin or EU boneheads or Zbigniew then next step that matters is legacy you leave. I hate to say it but in my opinion we observe the new world order elderly(David Rockefeller, Queen of England and Zbigniew and so many more) who want to see their ambitions fulfilled. In "Tragedy and Hope" elite ambitions are laid out in the open and this is what they've been doing for centuries. What else can you do when you own trillions, can buy whatever you want? You get bored and want to conquer the world in your sick elitist mind. Why are some people satisfied with a house, garden and being in nature and others want to achieve their way even if whole world is destroyed? So, fire is fuelled not by money but by genuine ambitions of some families to run the world. And then we can move to control.

Money is obviously a factor but don't forget blackmail, Also, what in the world did elite do with trillions stolen from various countries? Buy more yachts? Of course not lol. Invest in research? Obviously. What will trillions invested yield? We don't know. When you look at UFOs flying around then you start questioning where the money went. Do you want to own and preserve your wealth and power? Have an army to do that for you. Or superior tech. That is what I would do. What is the use of power if you can't defend it against everyone? So, my speculation is this: someone has powerful tech in space and if you don't do what we say, you get this and this fried. What can you do against that?

TheRedScourge's picture

None of them like to lift up a gun. All the US has to do is continue to stir up hornet's nests and their services will always be required.

astoriajoe's picture

So this is where Germany pivots east, according to Mr. Willie.

oh the drama.


Seasmoke's picture

Gas or Gold. Gas or Gold ????

Of course if Germans know their Gold is gone for good, the choice is an easy one. 

Ghordius's picture

Mr. Willie does not understand modern German political sentiment

60% of Germans just lately were polled stating that they want Germany on the back seat of all decisions. Never alone, never leading, always contributing

Germany might pivot east, in fact would for sure, if this would be part of a concerted european move

Uncle Remus's picture

You cannot heat your home or run a factory on political sentiment. I echo Nuland on this one as I suspect Germany will as well. I'm guessing you're not German then.

q99x2's picture

There you have it. The onset of Fall is when Russia takes Ukraine back.

Latina Lover's picture

With respect, what makes you think that Russia wishes to incorporate a bankrupt, backward Ukraine? Imagine if the USA annexed Mexico and central america, and  then decided to extend social welfare benefits to all.  The result would be an economic catastrophe for the US.

db51's picture

uh....according to my calculations, the US has already done just that.   and our Stock Market is SOARING!

Dr. Engali's picture

" Imagine if the USA annexed Mexico and central america, and then decided to extend social welfare benefits to all. The result would be an economic catastrophe for the US."

Uhhmmmmm....... Isn't that effectively what we are doing now?