Monday, October 22, 2018

Natural Gas: "Chancellor Angela Merkel has offered government support to efforts to open up Germany to U.S.."

Good grief Mutti, took you long enough.

From the Wall Street Journal:
Chancellor Angela Merkel has offered government support to efforts to open up Germany to U.S. gas, a key concession to President Trump as he tries to loosen Russia’s grip on Europe’s largest energy market.

Over breakfast this month, the chancellor told a small group of lawmakers her government had decided to co-finance the construction of a €500 million ($576 million) liquefied natural gas shipping terminal in northern Germany, according to people familiar with the meeting, giving a crucial nudge to a project that had failed to get off the ground for years in a country that gets most of its gas cheaply from Russia.

Mr. Trump has intensively lobbied Europe to buy significant amounts of LNG as part of his campaign to rewrite the terms of trade relations. German and U.S. officials said Berlin hoped embracing U.S. gas might help solve a protracted trade dispute and possibly even defuse threats by Washington to sanction Nord Stream 2, an unbuilt German-Russian gas pipeline that would double Russia’s existing gas export capacity to Germany.

As she briefed lawmakers from Germany’s northern coastal region, Ms. Merkel didn’t describe her change of mind as a defeat but as a “strategic” decision that could pay off in the longer term, according to the people. Experts agree that opening up its energy market won’t have an immediate economic benefit for Germany, but it could eventually help the country diversify.
For years, plans to build an LNG terminal by several groups were stalled because there was no government support that would make such a project economical. On Oct.16, less than a week after the meeting, an international consortium filed its first official bid for state support for a terminal in the northern town of Stade, near Hamburg....MUCH MORE
It's a pretty big deal.
Oct. 18
Natural Gas: Russian Media Downplays Poland's Latest Moves
Oct. 2
"German industry defends Nord Stream 2 gas pipeline"
Sept. 24
Natural Gas: "EU Taxpayers Aren't Funding Nord Stream 2 So Why The Hubbub"—Gazprom
August 23
"After Trump attack on Russia ties, Merkel eyes Azeri gas"
If I recall correctly  President Trump was pitching the geostrategic upside of U.S. LNG rather than crossing Turkey but whatevs, the Chancellor may just be throwing shade at The Donald.
July 19
"How Russian gas became Europe’s most divisive commodity"
As the kids say: Find someone to look at you the way Putin looks at Gerhard Schröder.

They also hug a lot.
 A lot.
And many, many more.
If interested use the 'search blog' box top left for stuff like: 
Have I Mentioned Russian Natural Gas and Nord Stream 2?
Yes, yes I have.
We'll have more tomorrow but for now, here's what we've posted over the last six months, oldest to newest:

"Berlin, Moscow Negotiate New Trade Accord"
-Reading Eagle
Feb. 12, 1940

"U.S., Poland Oppose Gas Pipeline Linking Russia And Germany"
"Europe’s Energy Geopolitics is Getting Dicey"