New Player in Caspian Sea Power Corridor
Competition – or development – of EU's eastern gas supply routes has intensified this year. Both EU/U.S. backed Nabucco and Russia's South Stream have made deals to guarantee realization of new pipelines until 2015. The EU’s new “southern corridor” - Nabucco as essential part of it - has been dubbed a version of U.S. “Silk Road Strategy” aimed to block Russia from gas fields around Caspian Sea and its connection to Iran. Russia on the other hand wants direct access to EU markets without transit via Ukraine. Until this summer the gas game has be seen as battle between Russia and West. Now the world economic crisis and current low price of gas have brought a new player to game in fuel sector - China. With its financial strength China has now had ability to intensify its offensive towards the Caspian Sea energy sources especially in Kazakhstan (especially oil) and Turkmenistan (especially gas). Will the outcome be, that both Russia and Western powers with their companies will ...