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The Center for Current Politics presents the analytical report:

Gazprom Development Strategy: old problems, new allies, big plans, political risks

The current state of Gazprom and the strategic courses of its business development.

Gazprom is turning into a global energy corporation with tremendous interests and assets in all kinds of fuel market, which significantly alters the traditional model of Gazprom's development. The study looks into the results of the monopolist's stock market liberalization.

The possible access of foreign corporations to the Russian gas resources and the competition between state structures for the control over deposits.

New partners, alliances, and markets. Gazprom and Rosneft as the stem of the struggle for domination in the fuel market. Competition for the east Siberian resources and the hydrocarbons potential of the shelf.

New markets.

When will Russian gas reach Asia? Competition between the liquefied natural gas and the gas from the former Soviet Asian states. Political risks. Europe's fears of the 'imperial policy' and the prospects of alternatives to Russia in gas in the European market.

New political-economic model of Gazprom's influence within the post-soviet area.

Gas shortfalls in Ukraine and the possibilities of a similar aggressive scenario over Byelorussia. Additional profit and restoration of a unified gas supply system, expansion into the fuel sector of CIS. Aggressive foreign policy of the concern as a reflection of Russia's diplomatic pretensions.

Quasi-national project of country's gasification and limits to the domestic consumption of gas.

Russian gas market, oncoming deficit and liberalization of gas prices.
Industry development scenarios.
Prospects and risks of Gazprom's business liberalization.
In the conditions of the global deficit of fuel, Russia has claimed for the role of the world dominating energy state. The key positions in this political game are devoted to gas as the main type of fuel for the medium future. This makes Gazprom's development a highly important issue since the company possesses the largest gas reserves in the world and represents the image of Russia's gas potential.

Realization of the new mega-projects announced by the Russian monopolist, namely supplies of the blue fuel to Europe, emergence into the LNG market and into the markets of the Pacific Rim, can fortify Russia's positions and create preconditions for a new system of fuel supply. However, the great goals are linked with considerable risks - political, financial, technological, and environmental - chiefly because the largest deposits are difficult to access. They will take large investments form Gazprom. Will the concern be able to raise the money and is there still time to unfold the ambitious plans?

Date of issues: 29 May 2006
Pages: 70
Format: Electronic / Printed PDF
Price: 380 EURO

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