Thursday, September 25, 2014

The US-EU-Russia sanctions puzzle — RT Op-Edge

Whatever Russia does, doubt does not even enter the equation. The answer is sanctions. So here we go again. The US Treasury-EU latest sanction package targets Russian banking, the energy industry and the defense industry.

The sanctions are mean. The sanctions are nasty. And there’s no euphemism to describe them; they amount to a declaration of economic war.

Sberbank, Russia’s largest won’t be able to access Western capital for long-term funding, including every kind of borrowing over 30 days. And the current 90-day lending bans affecting six other large Russian banks – a previous sanctions package - will also be reduced to 30 days.

On the energy front, what the US-EU want is to shut down new Russian exploration projects in Siberia and the Arctic, barring Western Big Oil from selling equipment and technology to offshore, deepwater or shale gas projects.

This means Exxon and Shell, for instance, are frozen in their operations with five top Russian oil/gas/pipeline companies: Gazprom, Gazprom Neft, Lukoil, Surgutneftegaz, and Rosneft.

No one ever lost money betting on the stupidity of the usual, unknown “senior US officials” – who are now spinning the latest sanction package is to force Moscow to “respect international law and state sovereignty.” A cursory examination of the historical record allows this paragraph to be accompanied by roaring laughter.

Complete story at - The US-EU-Russia sanctions puzzle — RT Op-Edge

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