22 November 2005
In light of recent developments in Iran, we encourage you to
read:
"Intelligence Brief: Iran"
http://www.pinr.com/report.php?ac=view_report&report_id=385
Economic Brief: The Blue Stream Gas Pipeline
Drafted By: Dr. Federico Bordonaro
http://www.pinr.com On November 17, the Blue Stream gas pipeline between Turkey
and Russia was officially inaugurated. Its construction,
undertaken by Russia, Turkey and Italy -- involving a joint
venture between Russia's gas giant Gazprom and Italy's energy
major ENI -- began in 1997. At that time, it was sharply criticized
as technically flawed (it runs at a record depth of 2,150 meters
below the sea) and politically inopportune (since it was said to
dangerously increase Turkey's dependence on Russia's gas
supply).
Blue Stream's implementation confirms that Russia is using its
vast oil and gas reserves as a geopolitical wildcard. For instance,
on Blue Stream's inauguration day, Russian President Vladimir
Putin already proposed the construction of new Russian-Turkish
oil and gas pipelines.
Additionally, the success of Blue Stream highlights once again
the major economic and strategic stakes of the broad area
linking the southeastern Balkans, the Black Sea region and the
Caspian Sea. Russia, Turkey, the E.U. powers and the U.S. are
all involved in a complex geoeconomic competition.
Turkey: the Energy Bridge Between Russia and the E.U.
The Blue Stream gas pipeline runs from the Izobilnoy gas plant in
southern Russia across the Black Sea bed to the Turkish port of
Samsun. The Russian section is 373 kilometers long (232 miles)
and the Black Sea's section from Djugba to Samsun is 309
kilometers long (192 miles). Once in Turkey, the pipeline
continues from Samsun to Ankara for about 501 kilometers (311
miles).
Continued..........