Russia Accused of Plot to Sabotage Georgian Oil Pipeline (Baku-Ceyhan)

Guardian ^ | December 1, 2003 | Nick Paton Walsh

[Shermy]

A £2bn pipeline to carry Caspian oil to Europe through Georgia risks being damaged by Chechen mercenaries or ecological saboteurs sponsored by Russian intelligence, a senior Georgian security official and sources in Moscow claim.

The GRU, the sophisticated elite of Russia's military intelligence corps, has allegedly allocated money towards hiring or training eco-warriors and mercenaries to sabotage the 1,100-mile project, which is run by a consortium headed by BP and is expected to be operational by 2005.

"We are aware of this threat," a Georgian cabinet member said. "The pipeline is a key strategic interest to Georgia and we are checking the situation very carefully."

According to information obtained from Moscow security sources during two months of inquiries by the Guardian, the GRU has allocated part of its budget towards the sabotage operation. The plan is not yet believed to be active, although the GRU has allegedly begun training a cell of ecologists.

The cells may also be used against foreign oil interests elsewhere in the former Soviet Union, the sources claim. Mercenaries hired in neighbouring Chechnya are considered a possible - albeit more complicated - alternative.

The alleged plan exposes the continuing face-off between the west and Russia in Georgia. Because of the pipeline the geopolitical significance of the former Soviet republic now vastly outweighs its 4 million population.

The Baku-Tbilisi-Ceyhan pipeline will ferry a million barrels of crude oil a day from the oil rich Azeri, Chirag and Gunashli fields of the Caspian to Turkish ports and on to Europe. Yet the long-term goal of the project is thought to be to carry oil from the massive uncharted oilfields of Kazakhstan across the Caspian to the west.

Russia is said to be opposed to the pipeline, which could significantly undermine its energy interests and influence in the region. "The geopolitical stakes are high as the US-backed pipeline competes with Russia's Baku-Novorossisk line," said Kate Mallinson, a former analyst of the Soviet Union for the Con trol Risks Group. "This represents a threat to Russia's political and economic interests. Therefore there is a risk of low-level disruption."

Poverty-stricken Georgia considers the pipeline vital to its long-term future. The first telephone call the acting president, Nino Burdzhanadze, made when she came to office last week was to BP. She called to "assure them the pipeline would be OK", said a senior Georgian official.

The company has been informed of the threat and takes it seriously, sources claim, although a BP spokeswoman declined to comment. The Russian ministry of defence said it "does not comment on crazy allegations".

However, analysts said last night it was unclear whether the sabotage plan was "controlled information" deliberately passed on to the consortium to intimidate it and hamper the project, or part of a genuine plot. "The Russians are normally more sophisticated," said one.

· Eduard Shevardnadze, who resigned as Georgia's president last Sunday after weeks of protests, has blamed the billionaire George Soros for financing the opposition groups behind his ousting.

[Shermy]

Caucasus Oil War Ping!

[gubamyster]

Thanks for the ping.

[RussianConservative]

Hmmm, except for two fact this is very plausable: 1. Gasprom has large stake invested in pipeline and Gasprom Russian government monopoly...some what silly for them to do so... and 2. Georgians are notorious BS artist, especially when sure that silly Americans panic and fork over monies to keep corrupt officials in cash...now that population is so dirt poor not enough left to steal from them...average georgian make less then $40/month but prices higher then Russia for all goods but basic foods.

[Spartano]

Maybe Soros is behind this sabotage.

[RussianConservative]

Once the missile shield is ready, we can knock out their oil infrastructure in retaliatory impunity!

Ahh so by time your Hillary rule US, US can try to bully all world? Nice to know real reason for missile shield...to bad it still not stop 12,000 missiles...so world conquest dreams will be on hold for much longer. Besides, sure blow up Russian oil...soon that will starve US...much US gas already Russian and so oil...and you can continue to whore selves to Islamics instead.

[Shermy]

"This represents a threat to Russia's political and economic interests. Therefore there is a risk of low-level disruption."

Thank God someone speaks plainly!

Last year I noticed, in Russian articles mostly, that Russia, a major oil producer, might be turning to the "Supply Side" attitude of Saudi and OPEC rather than allowing Central Asia to exort oil, under Russian control and investment. IOW, Russia might act as does Saudi and Iran with their own terrorist front groups - to stifle competitive supplies in a cartel economy. Here's one example from the Moscow Times, from one of the OPEC agents hurrying to Moscow before the Iraq war, and arguing that the sanctions regime against Iraq helped suppress competitive oil production.:

Russia, OPEC and Iraq

"...The ideal outcome for Russia is exactly the same as that for Saudi Arabia and OPEC, i.e. maintenance of the status quo and the sanctions regime on Iraqi oil. Thus, Russia's opposition to a U.S. invasion of Iraq is completely rational.

It would be an irony indeed if events in Baghdad this winter were to signal the end of the modern oil era and OPEC, just as 42 years ago they saw its start.

Chris Weafer is an adviser to OPEC on the Russian economy and until recently was head of research at Troika Dialog. He contributed this comment to The Moscow Times.

The same analogy would apply to Central Asia. Turkey, as an outlet, has no domestic oil production industry and hence no interest in suppressing others' production.

I found this argument interesting:

"...However, analysts said last night it was unclear whether the sabotage plan was "controlled information" deliberately passed on to the consortium to intimidate it and hamper the project, or part of a genuine plot. "The Russians are normally more sophisticated," said one. ..."

Iran just played its terror card in Turkey, attacking one of the major banks funding the project (big british involvement) and the British embassy. The jihadis were duped thinking they were serving some religious purpose. The investors were not scared off. Perhaps in reaction Russia played this fear card...perhaps a bad last ditch bluff indicating they wouldn't dare actually do it. They certainly planned, the "eco-warrior" front group idea is a brillian idea - also indicating that the NGO groups lobbying against the pipeline were Moscow-directed or fronts.

[Grampa Dave]

Thanks for the ping!

[RussianConservative]

So you ignore fact that Russian government invested in pipeline but go with propaganda of no proof but fairy tales...I also have bridge for you in Brooklyn...buy quick before GRU blow it up.

[Shermy]

This Kurdish site says Barclays dropped out of the BTC loan deal.

http://www.kurdmedia.com/news.asp?id=4472

You think they got the message with the bombing of the HSBC Bank building?

[a_Turk]

I'm telling you, that this whole spiel iain't as simple as most of our brothers and sisters would want to believe.

I'll bet that everything that has happened in the region from Georgia to Kirkuk to Istanbul are related.

I hope Turkey uncovers the whole thing. The US is obviously unwilling to get to the bottom of the umpteenth bombing of a 150 mile pipe in "friendly northern Iraqi territory..

The article you link to talks of the BTC pipe "as destabilising the conflict-prone region."

Hah!

[Shermy]

I'll bet that everything that has happened in the region from Georgia to Kirkuk to Istanbul are related.

Mostly Iran. Russia will participate too. Turkey, Western consumers, Caucasus and Central Asia on the other side.

I hope Turkey uncovers the whole thing. The US is obviously unwilling to get to the bottom of the umpteenth bombing of a 150 mile pipe in "friendly northern Iraqi territory..

US is to busy in Iraq to take on Iran right now. Plus old europe will sabotage us for the sake of oil and gas project preferences in Iran.

[Light Speed]

Bump for all the other stuff Zbigniew Brzenzski failed to mention..or

When plans go bad for the CFR

[PhilDragoo]

Georgian Interim President Nino Burdzhanadze (L) meets David Woodword (R), head of BP in Azerbaijan, in Tbilisi November 28, 2003. Woodward said on Friday the new leadership in Georgia fully supported the $2.7 billion Baku-Ceyhan pipeline project crossing the country, and said recent events in the country had not affected work on the project. REUTERS/David Mdzinarishvili

The GRU now announces secret plans of sabotage in advance.

Of course, "Greens" are watermelons, ready to attack hegemonic capitalists or capitalist hegemons to protect purity of essence.

Perhaps Soros is hiring petroljihadists as part of his deBushification.

Certainly the oligarchs have diverted funds from conducting war against Chechans while financing the Chechans.

Sabotage should be sanctioned; saboteurs should not be part of bedding the line as decaying organic matter is inherently unstable.

[Spartano]

http://news.bbc.co.uk/1/hi/world/europe/3256552.stm

[Grampa Dave]

This is an interesting remark made by you.

Perhaps Soros is hiring petroljihadists as part of his deBushification.

Did you coin this term, if so it is great: Petroljihadists

[Grampa Dave]

Thanks for the interesting link and ping.

[Shermy]

How about "petrojihadis"...a few less consonants.