ASSESSMENTS

Russia: Courting Azerbaijan for Natural Gas

Jun 4, 2008 | 23:53 GMT

Wojtek Laski/Getty Images

Summary

Russia's Gazprom is in talks with Azerbaijan to purchase natural gas. Europe and Iran have also been courting Azerbaijan for its natural gas, but Gazprom has announced it is now willing to pay the same as, if not more than, the Europeans and Iranians are offering. If Azerbaijan reaches an agreement with Gazprom, it could cut off one of Europe's options for diversifying its natural gas supplies away from Russia, while enabling Moscow to keep its natural gas exports flowing westward.

If Azerbaijan agrees to allow Russian natural gas giant Gazprom to purchase natural gas from its fields, it could put an end to one of Europe's options for diversifying its natural gas supplies away from Russia and allow Russia to continue exporting natural gas westward. <em>(With Stratfor map)</em>...

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