Sunday, December 22, 2019

Odd Relationship of Nord Stream II

Is the Nord Stream II natural gas project a German-Russian government project?  No.

It is a deal between Gazprom (the Russian natural gas company) and a number of European gas distribution companies, and European banks.  There's not a 'dime' of German taxation money going into the project.

So the revenues from the sales of natural gas.....will pay back the banks who loaned the money, and help generate profits for the gas distribution companies?  Yep, that's how it's designed. 

If the pipelines already exist between Germany and Russia, via the Ukraine and Poland....why build it?  The only sound logic is that currently....both Poland and the Ukraine can siphon off some natural gas....to be bought for x-amount (lower than what the Germans pay) as a condition of the pipeline crossing their property.  After this is complete.....you could trim or cut the natural gas flowing, and force them to the table....paying the normal price (or more).

Isn't there natural gas fields in Poland?  Yes, and if they required more....they could put up a harbor connection point and buy natural gas off the US.

So why does the government of Germany get so hyped up?  Yes, that is the curious question, and to answer that....you'd have to reflect upon the other two pipelines existing and why more were necessary.  At this point, this logic has yet to dawn upon the political folks. 

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