Archive for January 3rd, 2011

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Energy politics – Can we expect more bravado from Russia?

January 3, 2011

Well dear readers, yesterday, the first oil pipeline between Russia, the worlds biggest oil producer and China, the worlds biggest oil consumer opened.

The oil will be sold in Yuan and not US$ making Russia the first nation to start to build reserves in Yuan, a very interesting development.

A second line is due for completion in 2014.

http://www.bbc.co.uk/news/world-asia-pacific-12103865

Will this mean an even more robust foreign policy mentality towards the EU now that the previous railroading of Russian oil to China is now far more efficient delivered by pipeline and a guaranteed massive customer with huge financial resources  is now on the pipeline network?

Will this make the US$, the dominant currency in oil start to be removed in other oil trading?

How will this affect the overall geopolitical game?

It will be interesting to watch the Russian foreign policy over the next 5 years.

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