Tag Archives: PPL

Storm cuts U.S. oil, gas, power output, sending prices higher

Dec 23 (Reuters) – Frigid cold and blowing winds on Friday knocked out power and cut energy production across the United States, driving up heating and electricity prices as people prepared for holiday celebrations.

Winter Storm Elliott brought sub-freezing temperatures and extreme weather alerts to about two-thirds of the United States, with cold and snow in some areas to linger through the Christmas holiday.

More than 1.5 million homes and businesses lost power, oil refineries in Texas cut gasoline and diesel production on equipment failures, and heating and power prices surged on the losses. Oil and gas output from North Dakota to Texas suffered freeze-ins, cutting supplies.

Some 1.5 million barrels of daily refining capacity along the U.S. Gulf Coast was shut due to the bitterly cold temperatures. The production losses are not expected to last, but they have lifted fuel prices.

Knocked out were TotalEnergies (TTEF.PA), Motiva Enterprises (MOTIV.UL) and Marathon Petroleum (MPC.N) facilities outside Houston. Cold weather also disrupted Exxon Mobil (XOM.N), LyondellBasell (LYB.N) and Valero Energy (VLO.N) plants in Texas that produce gasoline, diesel and jet fuel.

Sempra Infrastructure’s Cameron LNG plant in Louisiana said weather disrupted its production of liquefied natural gas without providing details. Crews at the 12 million tonne-per-year facility were trying to restore output, it said.

Freeze-ins – in which ice crystals halt oil and gas production – this week trimmed production in North Dakota’s oilfields by 300,000 to 350,000 barrels per day, or a third of normal. In Texas’s Permian oilfield, the freeze led to more gas being withdrawn than was injected, said El Paso Natural Gas operator Kinder Morgan Inc. (KMI.N).

U.S. benchmark oil prices on Friday jumped 2.4% to $79.56, and next-day gas in west Texas jumped 22% to around $9 per million British thermal units , the highest since the state’s 2021 deep freeze.

Power prices on Texas’s grid also spiked to $3,700 per megawatt hour, prompting generators to add more power to the grid before prices fell back as thermal and solar supplies came online.

New England’s bulk power supplier said it expected to have enough to supply demand, but elsewhere strong winds led to outages largely in the Southeast and Midwest; North Carolina counted more than 187,000 without power.

“Crews are restoring power but high winds are making repairs challenging at most of the 4,600 outage locations,” Duke Energy spokesman Jeff Brooks wrote on Twitter.

Heating oil and natural gas futures rose sharply in response to the cold. U.S. heating oil futures gained 4.3% while natural gas futures rose 2.5%.

In New England, gas for Friday at the Algonquin hub soared 361% to a near 11-month high of $30 mmBtu.

About half of the power generated in New England comes from gas-fired plants, but on the coldest days, power generators shift to burn more oil. According to grid operator New England ISO, power companies’ generation mix was at 17% from oil-fired plants as of midday Friday.

Gas output dropped about 6.5 billion cubic feet per day (bcfd) over the past four days to a preliminary nine-month low of 92.4 bcfd on Friday as wells froze in Texas, Oklahoma, North Dakota, Pennsylvania and elsewhere.

That is the biggest drop in output since the February 2021 freeze knocked out power for millions in Texas.

One billion cubic feet is enough gas to supply about 5 million U.S. homes for a day.

Reporting by Erwin Seba and Scott DiSavino; additional reporting by Arathy Somasekhar and Laila Kearney; editing by Jonathan Oatis, Kirsten Donovan, Aurora Ellis and Leslie Adler

Our Standards: The Thomson Reuters Trust Principles.

Scott Disavino

Thomson Reuters

Covers the North American power and natural gas markets.

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Oil rises on hopes for China’s economy

  • Reopening of Chinese economy buoys demand expectations
  • Rising interest rates and recession fears weigh
  • U.S. to begin purchases for strategic reserve

LONDON, Dec 19 (Reuters) – Oil rose on Monday after falling by more than $2 a barrel in the previous session as optimism over the Chinese economy outweighed concern over a global recession.

China, the world’s top crude oil importer, is experiencing its first of three expected waves of COVID-19 cases after Beijing relaxed mobility restrictions but said it plans to step up support for the economy in 2023.

“There is no doubt that demand is being adversely influenced,” said Naeem Aslam, analyst at brokerage Avatrade.

“However, not everything is so negative as China has vowed to fight all pessimism about its economy, and it will do what it takes to boost economic growth.”

Brent crude gained 65 cents, or 0.8%, to $79.69 a barrel by 1248 GMT while U.S. West Texas Intermediate crude rose 85 cents, or 1.1%, to $75.14.

Oil surged towards its record high of $147 a barrel earlier in the year after Russia invaded Ukraine in February. It has since unwound most of this year’s gains as supply concerns were edged out by recession fears, which remain a drag on prices.

The U.S. Federal Reserve and European Central Bank raised interest rates last week and promised more. The Bank of Japan, meanwhile, could shift its ultra-dovish stance when it meets on Monday and Tuesday.

“The prospect of further rate rises will hit economic growth in the new year and in doing so curb demand for oil,” said Stephen Brennock of oil broker PVM.

Oil was supported by the U.S. Energy Department saying on Friday that it will begin repurchasing crude for the Strategic Petroleum Reserve – the first purchases since releasing a record 180 million barrels from the reserve this year.

Reporting by Alex Lawler
Editing by David Goodman and Barbara Lewis

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Keystone cleanup turns remote Kansas valley into a small town

WASHINGTON, Kan., Dec 18 (Reuters) – Farmer Bill Pannbacker got a call earlier this month from a representative from TC Energy Corp , telling him that its Keystone Pipeline, which runs through his farmland in rural Kansas, had suffered an oil leak.

But he was not prepared for what he saw on his land, which he owns with his wife, Chris. Oil had shot out of the pipeline and coated what he estimated was nearly an acre of pasture uphill of the pipe, which is set into a valley.

The grass was blackened with diluent bitumen, one of the thickest of crude oils, which was being transported from Canada to the Gulf of Mexico.

The rupture on Dec. 7 is the third in the last five years for the Keystone Pipeline, and the worst of the three – more than 14,000 barrels of crude has spilled and cleanup is expected to take weeks or months.

TC has not said when repairs could be completed and a 96-mile (155-km) segment of the pipeline will restart. Crews will remain busy on site through the holidays and completion of the cleanup depends on weather and other factors, the Canadian company said in a statement.

“We are committed to restoring the affected areas to their original condition or better.”

BEEHIVE OF WORKERS

Keystone’s two previous spills happened in unincorporated areas in North Dakota and South Dakota. And while the city of Washington, Kansas, is small with just over 1,000 residents, it is surrounded by farms where wheat, corn, soybeans are planted and cattle are raised. The spill in Washington County affected land owned by several people.

The once-quiet valley is currently a construction site buzzing with some 400 contractors, staff from pipeline operator TC Energy, and federal, state and local officials. They are working into the night, leaving a glow from the high-intensity lamps seen from miles away.

Cranes, storage containers, construction equipment and vehicles stretch for more than a half mile from the site of the rupture. The valley has become almost a small town, with several Quonset-style huts erected for workers.

Aerial photos showed a large, blackened swath of land that almost looks like an airborne object is throwing a shadow over the land. Pannbacker said that pasture was used for cattle grazing and calving, but with calving season over, there were no livestock there at the time.

The oil-blackened grass on the land, which is owned by Pannbacker and his sisters as part of a family trust, is now completely gone. It was scraped away and is now confined to a giant mound of dirt that is noticeably darker at the bottom. But oil droplets on plants further up the hill were still visible.

WIDER GROUP AFFECTED

Living in rural Kansas, the Pannbackers are used to preparing for harsh weather, but not an oil spill. Residents have been largely unconcerned despite the accident, even as the area will resemble a work site for the near-future.

“How many people have experienced an oil spill? Who knows what it’s like?” said Chris Pannbacker. “It’s not like a tornado or a natural disaster.”

Kansas State Representative Lisa Moser in a Facebook post said there are 14 landowners who are being compensated for either the spill or the use of their property during cleanup.

TC said it is discussing compensation with landowners but would keep details private. The company said it has stayed in regular contact with landowners. Pannbacker said TC has not yet discussed compensation with them yet.

Pannbacker says he does not expect the grass on the pastureland to return for at least two or three years; there is a well site on the pasture used for the cattle that they will not be using either.

Reporting by Erwin Seba in Washington, Kan.; additional reporting by Rod Nickel; writing by David Gaffen
Editing by Marguerita Choy

Our Standards: The Thomson Reuters Trust Principles.

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Oil resumes slide as weak economy outweighs supply risks

  • Brent, WTI reverse gains, resume slide
  • Oil has been falling for four out of five last weeks
  • Keystone pipeline shut, Russia threatens to cut output

SINGAPORE/LONDON, Dec 12 (Reuters) – Oil prices fell on Monday, deepening a multi-week decline, as a weakening global economy offset supply woes stemming from the closure of a key pipeline supplying the United States and Russian threats of a production cut.

Brent crude futures were down 38 cents, or 0.4%, at $75.72 a barrel by 0900 GMT. U.S. West Texas Intermediate crude was at $70.76 a barrel, down 26 cents, or 0.3%.

Last week, Brent and WTI fell to their lowest since December 2021 amid concerns that a possible global recession will impact oil demand.

China, the world’s biggest crude oil importer, continued to loosen its strict zero-COVID policy, though streets in the capital Beijing remained quiet and many businesses stayed shut over the weekend.

On Monday, queues formed outside fever clinics in the cities of Beijing and Wuhan, where COVID first emerged three years ago.

“Oil markets will likely stay volatile in the near term amid uncertainty over the impact on Russian output from the EU’s ban, headlines on China’s COVID policy, and central bank movements in the U.S. and Europe,” UBS analysts said in a note.

UBS said it believed Brent should recover to above $100 per barrel in the coming months amid supply constraints and rising demand while OPEC+ would keep supply tight.

On Sunday, Canada’s TC Energy (TRP.TO) said it had not yet determined the cause of the Keystone oil pipeline leak last week in the United States. It gave no timeline as to when the pipeline would resume operation.

The 622,000 barrel-per-day Keystone line is a critical artery shipping heavy Canadian crude to U.S. refiners.

Russian President Vladimir Putin said on Friday that Russia could cut production and would refuse to sell oil to any country that imposes a “stupid” price cap on Russian exports.

Saudi Arabia’s energy minister also said on Sunday that price cap measures had had no clear results yet.

“The emergent EU embargo on Russian crude… may add moderate upside energy price risks in the next few months. But supply uncertainty should ease by spring 2023, after the embargo on oil products (on Feb.5) plays out,” Deutsche Bank said in a note.

Reporting by Florence Tan and Emily Chow in Singapore; Editing by Christian Schmollinger, Bradley Perrett and Simon Cameron-Moore

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Kansas residents hold their noses as crews mop up massive U.S. oil spill

WASHINGTON, Kan., Dec 10 (Reuters) – Residents near the site of the worst U.S. oil pipeline leak in a decade took the commotion and smell in stride as cleanup crews labored in near-freezing temperatures, and investigators searched for clues to what caused the spill.

A heavy odor of oil hung in the air as tractor trailers ferried generators, lighting and ground mats to a muddy site on the outskirts of this farming community, where a breach in the Keystone pipeline discovered on Wednesday spewed 14,000 barrels of oil.

Pipeline operator TC Energy (TRP.TO) said on Friday it was evaluating plans to restart the line, which carries 622,000 barrels per day of Canadian oil to U.S. refineries and export hubs.

“We could smell it first thing in the morning; it was bad,” said Washington resident Dana Cecrle, 56. He shrugged off the disruption: “Stuff breaks. Pipelines break, oil trains derail.”

TC Energy did not provide details of the breach or say when a restart on the broken segment could begin. Officials are scheduled on Monday to receive a briefing on the pipeline breach and cleanup, said Washington County’s emergency preparedness coordinator, Randy Hubbard, on Saturday.

OIL FLOWS TO CREEK

Environmental specialists from as far away as Mississippi were helping with the cleanup and federal investigators combed the site to determine what caused the 36-inch (91-cm) pipeline to break.

Washington County, a rural area of about 5,500 people, is about 200 miles (322 km) northwest of Kansas City.

The spill has not threatened the water supply or forced residents to evacuate. Emergency workers installed booms to contain oil that flowed into a creek and that sprayed onto a hillside near a livestock pasture, said Hubbard.

TC Energy aims to restart on Saturday a pipeline segment that sends oil to Illinois, and another portion that brings oil to the major trading hub of Cushing, Oklahoma, on Dec. 20, Bloomberg News reported, citing sources. Reuters has not verified those details.

It was the third spill of several thousand barrels of crude on the 2,687-mile (4,324-km) pipeline since it opened in 2010. A previous Keystone spill had caused the pipeline to remain shut for about two weeks.

“Hell, that’s life,” said 70-year-old Carol Hollingsworth of nearby Hollenberg, Kansas, about the latest spill. “We got to have the oil.”

TC Energy had around 100 workers leading the cleanup and containment efforts, and the U.S. Environmental Protection Agency was providing oversight and monitoring, said Kellen Ashford, an EPA spokesperson.

U.S. regulator Pipeline and Hazardous Materials Administration (PHMSA) said the company shut the pipeline seven minutes after receiving a leak detection alarm.

CRUDE BOTTLENECK

A lengthy shutdown of the pipeline could lead to Canadian crude getting bottlenecked in Alberta, and drive prices at the Hardisty storage hub lower, although price reaction on Friday was muted.

Western Canada Select (WCS), the benchmark Canadian heavy grade, for December delivery last traded at a discount of $27.70 per barrel to the U.S. crude futures benchmark , according to a Calgary-based broker. On Thursday, December WCS traded as low as $33.50 under U.S. crude, before settling at around a $28.45 discount.

“The real impact could come if Keystone faces any (flow) pressure restrictions from PHMSA, even after the pipeline is allowed to resume operations,” said Ryan Saxton, head of oil data at consultants Wood Mackenzie.

Reporting by Erwin Seba in Washington, Kansas, and Nia Williams in Calgary, Alberta;
Additional reporting by Arathy Somasekhar in Houston, Rod Nickel in Winnipeg and Stephanie Kelly in New York
Editing by Gary McWilliams, Stephen Coates and Matthew Lewis

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Oil removal effort for Keystone pipeline spill to extend to next week, U.S. EPA says

Dec 9 (Reuters) – The effort to remove oil from the largest crude spill in the United States in nearly a decade will extend into next week, the U.S. Environmental Protection Agency said on Friday, making it likely that the Keystone pipeline shutdown will last for several more days.

TC Energy (TRP.TO) shut the largest oil pipeline to the United States from Canada on Wednesday after it leaked 14,000 barrels of oil into a Kansas creek. It said on Friday it is still determining when it will be able to return the line to service.

The outage on the Keystone, which carries 622,000 barrels of Canadian crude per day (bpd) to various parts of the United States, could affect inventories at the key Cushing, Oklahoma, storage hub and cut crude supplies to two oil refining centers, analysts said. Crews in Kansas continued clean-up efforts on Friday from the breach, the cause of which remained unknown.

“We’re beginning to get a better sense of the clean up efforts that will need to be undertaken in the longer-term,” said Kellen Ashford, spokesperson for the EPA Region 7, which includes Kansas.

TC Energy aims to restart on Saturday a pipeline segment that sends oil to Illinois, and another portion that brings oil to Cushing on Dec. 20, Bloomberg News reported, citing sources. Reuters has not verified those details.

This is the third spill of several thousand barrels of crude on the pipeline since it first opened in 2010. A previous Keystone spill had caused the pipeline to remain shut for about two weeks.

TC Energy remained on site with around 100 workers leading the clean-up and containment efforts, and the EPA was providing oversight and monitoring, Ashford said. TC is responsible for determining the cause of the leak.

A corrective action order from the U.S. Pipeline and Hazardous Materials Administration (PHMSA) to TC on Thursday said the company shut the pipeline down seven minutes after receiving a leak detection alarm. The affected segment, 36 inches (91 cm) in diameter, was Keystone’s Phase 2 extension to Cushing built in 2011.

Washington County, a rural area of about 5,500 people, is about 200 miles (320 km) northwest of Kansas City.

The oil spill has not threatened the local water supply or forced local residents to evacuate, Washington County Emergency Management Coordinator Randy Hubbard told Reuters. Workers quickly set up a containment area to restrict oil that had spilled into a creek from flowing downstream.

“There is no human consumption drinking water that would come out of this,” Hubbard said.

Livestock producers in the area have been notified and have taken their own corrective measure to protect their animals, he added.

The EPA is the main federal agency that oversees inland oil spills. If the EPA finds TC Energy liable for the spill, the company would be responsible for the cost of cleanup and repairing any harm to the environment, as well as potential civil and criminal penalties.

Pipeline operators are typically held accountable for breaches by the EPA through the Clean Water Act (CWA) and the related Oil Pollution Act, among others, according to Zygmunt Plater, an environmental law professor at Boston College Law School.

Those federal acts restrict the discharge of pollutants such as oil into waterways and hold pipeline operators responsible for the costs associated with containment, cleanup and damages from spills.

CRUDE BOTTLENECK

A lengthy shutdown of the pipeline could also lead to Canadian crude getting bottlenecked in Alberta, and drive prices at the Hardisty storage hub lower, although price reaction on Friday was muted.

Western Canada Select (WCS), the benchmark Canadian heavy grade, for December delivery last traded at a discount of $27.70 per barrel to the U.S crude futures benchmark, according to a Calgary-based broker. On Thursday, December WCS traded as low as $33.50 under U.S. crude, before settling at around a $28.45 discount.

PHMSA has to approve the restart of the line. Even once the pipeline starts operating again, the affected area will have to flow at reduced rates pending PHMSA approval.

“The real impact could come if Keystone faces any pressure restrictions from PHMSA, even after the pipeline is allowed to resume operations,” said Ryan Saxton, head of oil data at Wood Mackenzie.

Additional reporting by Arathy Somasekhar, Rod Nickel, Stephanie Kelly and Clark Mindock; Editing by Marguerita Choy

Our Standards: The Thomson Reuters Trust Principles.

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Keystone pipeline shut after 14,000-barrel oil spill in Kansas

Dec 8 (Reuters) – Canada’s TC Energy shut its Keystone pipeline in the United States after more than 14,000 barrels of crude oil spilled into a creek in Kansas, making it one of the largest crude spills in the United States in nearly a decade.

The cause of the leak, which occurred in Kansas about 20 miles (32 km) south of a key junction in Steele City, Nebraska, is unknown. It is the third spill of several thousand barrels of crude on the pipeline since it first opened in 2010.

The 622,000 barrel-per-day Keystone line is a critical artery shipping heavy Canadian crude from Alberta to refiners in the U.S. Midwest and the Gulf Coast. It is unclear how long the closure will last.

There have been no effects on drinking water wells or the public, the U.S Environmental Protection Agency said in a statement, though surface water of Mill Creek was affected.

Kellan Ashford, spokesperson for EPA Region 7, which includes Kansas, said the cause of the leak was still unclear on Thursday evening.

TC had mobilised around 100 people to respond to the spill, while the EPA had dispatched two coordinators, Ashford said. Washington County Emergency Management and Kansas’s Department of Health and Safety were also on the scene.

Keystone shut the line at about 8 p.m. CT Wednesday (0200 GMT Thursday) after alarms went off and system pressure dropped, TC (TRP.TO) said in a release. It said booms were being used to contain the spill.

LARGEST ONSHORE SPILL IN YEARS

According to U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) data, this would be the largest crude oil leak since a Tesoro pipeline leaked more than 20,000 barrels of oil in North Dakota in October 2013.

PHMSA is also investigating the leak, which occurred near Washington, Kansas, a town of about 1,000 people.

There have been seven Keystone spills since it became operational in June 2010, according to PHMSA data. The largest were in December 2017, when more than 6,600 barrels spilled in South Dakota, and in November 2019, when more than 4,500 barrels spilled in North Dakota, according to PHMSA figures.

“It is troubling to see so many failures and so much oil spilled from any pipeline, but it is especially troubling from such a relatively new pipeline,” said Bill Caram, executive director of the nonprofit Pipeline Safety Trust, in a statement.

LENGTH OF SHUTDOWN UNCLEAR

TC declared force majeure over the outage, according to a source with direct knowledge, referring to unexpected external circumstances that prevent a party to a contract from meeting its obligations. TC did not respond to a request for comment.

Two Keystone shippers said TC had not yet notified them how long the pipeline may be shut.

Keystone’s shutdown will hamper deliveries of Canadian crude both to the U.S. storage hub in Cushing, Oklahoma and to the Gulf, where it is processed by refiners or exported.

The shutdown is expected to increase the discount on Western Canada Select (WCS) heavy oil from Alberta to U.S. crude , which was already high due to lackluster demand for heavy, sour Canadian oil.

WCS for December delivery traded at $33.50 a barrel below WTI, compared with Wednesday’s settle of $27.50 a barrel below the benchmark, according to one broker.

“It’s really a worst-case scenario if this outage is long-lasting,” said Rory Johnston, founder of energy newsletter Commodity Context, noting that if the price falls further, shippers may opt to move crude by rail.

Steele City is roughly the junction where Keystone splits, with one segment moving crude to Illinois refineries and the other carrying oil south to Oklahoma and the Gulf Coast.

If the spill is located south of the junction, TC may be able to quickly restart the segment to Illinois, RBC analyst Robert Kwan said in a note.

Past shutdowns have generally lasted about two weeks, but this could last longer as it involves a water body, Kwan said.

TC shares ended down 0.1% in Toronto.

Reporting by Arpan Varghese, Brijesh Patel and Deep Vakil in Bengaluru, Rod Nickel, Nia Williams and Arathy Somasekhar; Editing by Josie Kao and Stephen Coates

Our Standards: The Thomson Reuters Trust Principles.

Rod Nickel

Thomson Reuters

Covers energy, agriculture and politics in Western Canada with the energy transition a key area of focus. Has done short reporting stints in Afghanistan, Pakistan, France and Brazil and covered Hurricane Michael in Florida, Tropical Storm Nate in New Orleans and the 2016 Alberta wildfires and the campaign trails of political leaders during two Canadian election campaigns.

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Norway raises military alert in response to Ukraine war

  • Hiked preparedness seen lasting a year, could be longer
  • Norway is now Europe’s largest gas supplier
  • Shares a border with Russia in the Arctic

OSLO, Oct 31 (Reuters) – Norway will put its military on a raised level of alert from Tuesday, moving more personnel on to operational duties and enhancing the role of a rapid mobilisation force in response to the war in Ukraine, the government said on Monday.

Norway will also seek to bring its new fleet of U.S.-made P-8 Poseidon submarine-hunting maritime patrol aircraft into regular operation at a faster pace than originally planned, the chief of defence, General Eirik Kristoffersen, said.

The scale of alert on which the military operates is classified, however, and the government declined to give details of the level.

There were no concrete threats against Norway now triggering the decision, Kristoffersen told Reuters, but rather the sum of “the uncertainties” was leading authorities to raise the country’s military preparedness.

“We have seen an escalation (in the war) in Ukraine, we (Norway) are training Ukrainian forces, the Ukraine war has changed with the Russian mobilisation,” he said an interview.

“And at the same time, we have had a gas explosion in the Baltic Sea and drone activity at North Sea platforms.”

The raised level is expected to last a year, “possibly more”, Kristoffersen added.

OFFSHORE PLATFORMS

Norway first deployed its military to guard offshore platforms and onshore facilities after leaks on the Nord Stream pipelines on Sept. 26 in Swedish and Danish waters and has received support from British, Dutch, French and German armed forces.

The country’s security police last week arrested a suspected Russian spy and is also involved in protecting gas exports, vital to Europe’s energy supplies this coming winter.

NATO member Norway shares a nearly 200 km (125 mile) land border with Russia in the Arctic, as well as a vast maritime border.

The Nordic nation of 5.4 million people is also now the biggest exporter of natural gas to the European Union, accounting for around a quarter of all EU imports after a drop in Russian flows.

“The continuation of the war in Ukraine, Russia’s attempts at weakening (international) support for Ukraine mean that all countries in Europe must consider that they are exposed to hybrid threats. Including Norway.” Prime Minister Jonas Garh Stoere told Reuters.

The armed forces will spend less time training and more time on operational duties. The Home Guard, a rapid mobilisation force, will play a more active role.

The air force had called off training in the United States with its F35 fighter jets, preferring to keep them in Norway, said Kristoffersen.

Reporting by Gwladys Fouche; Writing by Terje Solsvik; Editing by John Stonestreet, Alison Williams and Alex Richardson

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Gwladys Fouche

Thomson Reuters

Oversees news coverage from Norway for Reuters and loves flying to Svalbard in the Arctic, oil platforms in the North Sea, and guessing who is going to win the Nobel Peace Prize. Born in France and with Reuters since 2010, she has worked for The Guardian, Agence France-Presse and Al Jazeera English, among others, and speaks four languages.

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Russia says UK navy blew up Nord Stream, London denies involvement

  • Russia says UK navy personnel blew up pipelines
  • Russia says UK navy personnel helped attack Crimea
  • Russia does not give evidence for claim
  • Britain denies Russian claims

LONDON, Oct 29 (Reuters) – Russia’s defence ministry said on Saturday that British navy personnel blew up the Nord Stream gas pipelines last month, a claim that London said was false and designed to distract from Russian military failures in Ukraine.

Russia did not give evidence for its claim that a leading NATO member had sabotaged critical Russian infrastructure amid the worst crisis in relations between the West and Russia since the depths of the Cold War.

The Russian ministry said that “British specialists” from the same unit directed Ukrainian drone attacks on ships of Russian Black Sea fleet in Crimea earlier on Saturday that it said were largely repelled by Russian forces, with minor damage to a Russian minesweeper.

“According to available information, representatives of this unit of the British Navy took part in the planning, provision and implementation of a terrorist attack in the Baltic Sea on September 26 this year – blowing up the Nord Stream 1 and Nord Stream 2 gas pipelines,” the ministry said.

Britain denied the claim.

“To detract from their disastrous handling of the illegal invasion of Ukraine, the Russian Ministry of Defence is resorting to peddling false claims of an epic scale,” it said.

“This invented story, says more about arguments going on inside the Russian government than it does about the West.”

Russia has previously blamed the West for the explosions that ruptured the Russian-built Nord Stream 1 and Nord Stream 2 pipelines on the bed of the Baltic Sea.

But it had not previously given specific details of who it thinks was responsible for the damage to the pipelines, previously the largest routes for Russian gas supplies to Europe.

A sharp drop in pressure on both pipelines was registered on Sept. 26 and seismologists detected explosions, triggering a wave of speculation about sabotage to one of Russia’s most important energy corridors.

Reuters has not been able to immediately verify any of the conflicting claims about who was to blame for the damage.

PIPELINE MYSTERY

Sweden and Denmark have both concluded that four leaks on Nord Stream 1 and 2 were caused by explosions, but have not said who might be responsible. NATO Secretary-General Jens Stoltenberg has called the damage an act of sabotage.

Sweden has ordered additional investigations to be carried out into the damage done to the pipelines, the prosecutor in charge of the case said in a statement on Friday.

The Kremlin has repeatedly said allegations of Russian responsibility for the damage were “stupid” and Russian officials have said Washington had a motive as it wants to sell more liquefied natural gas (LNG) to Europe.

The United States has denied involvement.

The Nord Stream 1 and Nord Stream 2 pipelines have a joint annual capacity of 110 billion cubic metres – more than half of Russia’s normal gas exports volumes.

Sections of the 1,224-km (760-mile) long pipelines, which run from Russia to Germany, lie at a depth of around 80-110 metres.

Russia said meanwhile that Ukrainian forces attacked ships from the Black Sea Fleet in Sevastopol, the biggest city in Russian-annexed Crimea, in the early hours of Saturday.

“Nine unmanned aerial vehicles and seven autonomous marine drones were involved in the attack,” the defence ministry said.

“The preparation of this terrorist act and the training of servicemen of the Ukrainian 73rd Special Center for Naval Operations were carried out under the guidance of British specialists located in the town of Ochakiv.”

All the air drones were destroyed though minor damage was done to the minesweeper Ivan Golubets, the ministry said. Sevastopol is the headquarters of Russia’s Black Sea Fleet.

Reporting by Reuters
Editing by Guy Faulconbridge and Frances Kerry

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Putin courts Erdogan with plan to pump more Russian gas via Turkey

  • Putin presents Turkish leader with new “gas hub” plan
  • Moscow seeks new corridor after damage to Baltic pipelines
  • Erdogan seen as key diplomatic player in Russia-Ukraine war

ASTANA, Oct 13 (Reuters) – Russian President Vladimir Putin proposed to his Turkish counterpart Tayyip Erdogan on Thursday that Moscow could export more gas via Turkey and turn it into a new supply “hub”, bidding to preserve Russia’s energy leverage over Europe.

At a meeting in Kazakhstan, Putin said Turkey offered the most reliable route to deliver gas to the European Union, and the proposed platform would allow prices to be set without politics.

Russia is looking to redirect supplies away from the Nord Stream Baltic gas pipelines, damaged in explosions last month that are still under investigation. Russia blamed the West, without providing evidence, and rejected what it called “stupid” assertions that it had sabotaged the pipelines itself.

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Putin told Erdogan the hub would be “a platform not only for supplies, but also for determining the price, because this is a very important issue”.

“Today, these prices are sky-high,” he said. “We could easily regulate [them] at a normal market level, without any political overtones.”

Erdogan did not respond in the televised portion of their meeting, but Kremlin spokesman Dmitry Peskov was quoted by the Russian news agency RIA as saying both men had ordered a rapid and detailed examination of the idea.

Russia supplied about 40% of Europe’s gas before its Feb. 24 invasion of Ukraine but had cut flows sharply even before the explosions, blaming technical problems that it said were the result of Western sanctions.

European governments rejected that explanation, accusing Moscow of using energy as a geopolitical weapon.

TURKISH MEDIATION

Relations with NATO member Turkey are vital to Russia at a time when the West has hit it with waves of economic sanctions, which Ankara has refrained from joining. Turkey has, however, rejected Russia’s move to annex four Ukrainian regions as a “grave violation” of international law.

Erdogan has sought to mediate between Moscow and Kyiv, and achieved a rare breakthrough in July when, together with the United Nations, he brokered an agreement allowing for the resumption of commercial Ukrainian grain exports from Black Sea ports that Russia had blockaded.

Russia has complained, however, that its own grain and fertiliser exports, while not directly targeted by Western sanctions, continue to be hampered by problems with access to foreign ports and obtaining insurance.

Erdogan told Putin: “We are determined to strengthen and continue the grain exports … and the transfer of Russian grain and fertiliser to less developed countries via Turkey.”

Russian officials had said before the meeting that they were open to hearing proposals from Turkey about hosting peace talks involving Russia and the West.

However, Peskov was quoted by RIA as saying “the topic of a Russian-Ukrainian settlement was not discussed” by the leaders.

Russian Foreign Minister Sergei Lavrov this week signalled increasing receptiveness to talks after Moscow suffered a series of military defeats. Washington dismissed his comments as “posturing”.

Ukrainian President Volodymyr Zelenskiy has ruled out talking to Putin after he proclaimed the annexation of the four Ukrainian regions and after Russia rained missiles on Ukrainian cities this week in the wake of an attack on a vital bridge between Russia and Crimea, the peninsula it seized in 2014.

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Reporting by Reuters; writing by Mark Trevelyan, Editing by Kevin Liffey

Our Standards: The Thomson Reuters Trust Principles.

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