Russia’s Kurdish Pipeline Gamble

21 Sep 2017   Iraq, Russia

Rarely does one see such a multi-faceted move as Rosneft declaring it will build a $1 billion pipeline bringing gas from Iraqi Kurdistan to Turkey. The 30 BCm/year pipeline would not only allow the ever-expanding Rosneft to fortify its position in Kurdistan and nip into the Turkish gas market, but it could also challenge the export monopolist Gazprom, as the heavy lobbying effort to liberalize access to gas exports failed on the domestic market, it seems it might work out in Turkey. Rosneft-Kurdistan relations intensify by the minute. In February, the sides concluded an oil supply agreement. In July they signed a framework agreement. And in mid-September they formalized their commitment to build the Kurdistan-Turkey gas pipeline. The deal creates a win-win situation for both Rosneft and the KRG government, yet is fraught with serious geopolitical consequences in a region where war remains the prevailing theme of the 21 […]

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