British Government Tries to Punish Russia for Resisting British Colonial Exploitation

7 de junio de 2007

<body><div id="article"><tr><td height="23" valign="middle" width="184"></td><td valign="middle" width="185"></td></tr><h1>British Government Tries to Punish Russia for Resisting British Colonial Exploitation</h1><p>June 7, 2007 (LPAC)-- The United Kingdom's Foreign Office is again issuing warnings to businesses about the risks of investing in Russia in the wake of Moscow's recent moves to take control of energy assets from foreign companies. This was reported in an article in the <em>Financial Times</em> on June 7. The article describes the recent actions of the Kremlin as an assault on energy companies that have an UK interest. The article notes that the Russians have shutdown the Sakhalin-2 project in Russia's far east in which Royal Dutch Shell had a controlling interest. The other example used in the article to show that Russia is attacking energy projects controlled by foreign companies is the BP-TNK licence to develop the Kovykta Gas field in Siberia. The article notes that the Russians are about to revoke the licence, which could happen by the end of the month. It is also of note that this week the <em>London Economist</em> ran an article saying that the best way to punish Russia would to be to throw Russia out of the G-8 and also not to allow Russian companies to do IPO's in Britain and to tell other businesses not to invest in Russia.</p><p>Putin was asked about this issue in his pre G-8 press conference. In regard to the Sakhalin project, Putin said: "This is a colonial agreement that was signed by the Russian Federation in the 1990's and we had no way out of the agreement which allowed our natural resources to be exploited and we got nothing out of it. It was good that they were violating environmental standards which gave us a way to stop the project and the exploiting of our natural resources."</p><p>In regard to the BP-TNK permit, Put explained: "The parties to the permit have failed to live up to the agreement and under the rules of the permit natural gas was already to be extracted last year and so far none has been. The Kovykta Gas Field is the largest gas field in Russia and is said to contain more gas than all of the Canada gas fields and I ask how long do we have to wait before this field is to be developed and as to revoking the BP permit there are still negotiations going on and it is unlikely that the permit will be revoked."</p></div></body>